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How much profit is 1 pip in forex?
The profit (or loss) of 1 pip in Forex depends on three things:
Lot size
Currency pair
Account currency
I’ll explain it simply 👇
What Is 1 Pip?
For most forex pairs:
1 pip = 0.0001 Example: EUR/USD moves from 1.1000 → 1.1001
For JPY pairs:
1 pip = 0.01 Example: USD/JPY moves from 150.00 → 150.01
1 Pip Value by Lot Size (Most USD-Quoted Pairs like EUR/USD)
Lot SizeUnits1 Pip ValueStandard Lot100,000$10 per pipMini Lot10,000$1 per pipMicro Lot1,000$0.10 per pip
Example Profit Calculation
If you trade EUR/USD with:
Lot size: 0.10 (mini lot)
Price moves: 20 pips
👉 Profit = 20 × $1 = $20
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For JPY Pairs (USD/JPY Example)
1 standard lot ≈ $6.60–$9 per pip (depends on current USD/JPY rate)
General Formula
Pip Value = (1 Pip / Exchange Rate) × Lot Size
Quick Rule (Easy to Remember)
0.01 lot = ~$0.10 per pip
0.10 lot = ~$1 per pip
1.00 lot = ~$10 per pip
(For most major USD pairs)
Why This Matters
Knowing pip value helps you:
Control risk per trade
Set correct lot size
Avoid over-leveraging
Trade like a professional 📊
If you want, I can:
Create a pip value calculator
Explain pip value for gold (XAUUSD)
Show lot size based on risk %
Just tell me 👍
Money has time value. A dollar today is worth more than a dollar tomorrow because money can earn interest. $10,000 Worth in 10 Years at 5% A