I see the majority of users taking about their losses/profits in pips. I find it very difficult to understand how they get these numbers so easy, as for me, it’s easier to understand in $. I lost $2 or gained $10 on xyz pair.
Some brokers trade 4 digits, other 5 digits…I need a calculator to figure out the proper number. What methods do you use to keep track of your pips? I’m sure there are indies/EAs that just do that.
Pips are, in a sense, insignificant on their own. You need more info to put it in to context.
You could risk 1% of your account with a 10-pip stop or you could risk 1% with a 300-pip stop.
Either way, you’d only lose 1% - all that is different is your position size.
Yes, being in positive pips is certainly a step in the right direction but you need to know their risk. You’ll hear about risk/reward ratios. This makes more sense & carry’s more weight. So if you risk 1% of your account with a 10-pip stop but look to make a 30-pip profit, that’s 1:3. Follow?
I take it you haven’t worked thru the free school here. If you had, you wouldn’t need to ask questions like this
The last digit in four digits number is one pip and in five digits number it is pipette. 1 pip=10 pipettes