Pip Value Calculator

Work out the dollar value of one pip for any lot size and pair — the base unit for sizing every forex trade.

Pip value: $10.00
Value of a 10-pip move: $100.00

Amounts in US dollars for a USD account. Example rates only; check your broker's price.

How it works

A pip is the smallest standard price move in a currency pair — the fourth decimal place (0.0001) for most pairs, and the second decimal place (0.01) for pairs quoted in Japanese yen. Pip value is what one pip of movement is worth in your account currency for a given position size, and it is the base unit every other risk calculation — position sizing, stop-loss distance, potential profit — is built from. For a pair quoted directly against the US dollar (EUR/USD, GBP/USD, an ounce of gold against USD), pip value per standard lot is fixed by the contract size alone and does not depend on the exchange rate. For a pair where the US dollar is the base currency rather than the quote currency (USD/JPY), pip value does depend on the current exchange rate, because the pip is measured in the quote currency and has to be converted back to USD. Knowing the exact pip value before you trade lets you translate a stop-loss distance in pips into a real dollar risk figure — which is the number that actually matters when you size a position.

Frequently asked questions

What is a pip in forex trading?

A pip is the smallest standard price increment in a currency pair — typically the fourth decimal place (0.0001), or the second decimal place (0.01) for pairs quoted in Japanese yen.

Why does pip value depend on the exchange rate for some pairs?

It depends on the rate only when the US dollar is the base currency rather than the quote currency, such as USD/JPY — the pip is measured in the quote currency and has to be converted back to USD. Pairs quoted directly against USD (EUR/USD, GBP/USD) have a fixed pip value per lot regardless of the current rate.

How much is a pip worth on a standard lot of EUR/USD?

Exactly $10 per pip on a 100,000-unit standard lot, $1 on a 10,000-unit mini lot, and $0.10 on a 1,000-unit micro lot — because EUR/USD is quoted directly against the dollar, this figure does not change with the exchange rate.

How do I use pip value to size a trade?

Divide the amount of your account balance you are willing to risk by (your stop-loss distance in pips × pip value per lot) to get the position size in lots — see our position size calculator for the full calculation.

Worked example

Take EUR/USD, a standard lot (100,000 units), and a pip size of 0.0001. Pip value = pip size × contract size = 0.0001 × 100,000 = $10 per pip Because EUR/USD is quoted against the US dollar, that $10 figure holds regardless of the current EUR/USD rate — it does not need converting. Now take USD/JPY, same lot size, pip size 0.01, at a sample rate of 155.20. Pip value = (pip size × contract size) / rate = (0.01 × 100,000) / 155.20 = $6.44 per pip Here the exchange rate matters: as USD/JPY moves, the dollar value of a JPY pip shifts with it, which is why the calculator asks for a reference rate only on pairs like this one.

The reference rate on this calculator is illustrative, not a live feed — always check your broker's own dealing rate for the pair you're trading, since a stale rate will slightly misstate pip value on non-USD-quoted pairs. If your account is denominated in a currency other than USD, your broker converts the final pip value into your account currency at their own rate, which this calculator does not model.

Terms in this calculation

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Guide

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Definition:Pip