A Guide to Calculating Profit from 100 Pips in Forex Trading - Computing the Profit for 100 Pips
Examples of how to calculate forex pips using the 4 Decimal Points Currency Quote
The 4th decimal place in the EUR/USD forex currency pair is equivalent to 1 pip
EUR USD 100 Pip Move Profit Calculation Shown Step by Step
If the EUR/USD moves from 1.2000 to 1.2100 then this market move is equal to:
The difference from 1.2100 to 1.2000 is 0.0100 or 100 pips.
Value of = 0.0001 USD (1 pip move for 1 standard contract)
1 standard contract = $100,000 dollars
Value of 1 pip for 1 standard contract = 100,000* 0.0001= $10
100 pips value is 100 times 10 for 1000 dollars
Therefore the profit in pips for 100 pips in EUR/USD currency pair is $1,000
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