say USDJPY goes from 118.10 to 118.70. Thats a gain of 60 pips. Now say that EURNOK goes from 8.11810 to 8.11870. Is that still a gain of 60 pips? Would you make the same amount of money with the EURNOK trade as with the USDJPY trade? If so, why dont more poeple trade EURNOK. It seems to have greater profit potential if the above statement is true.
For instance, today USDJPY has gone up .72, or 72 pips so far. However, EURNOK has gone up .01120, or 1,120 pips. At 10 dollars a pip, the profit is $720 compared to $11,200. Why dont people trade more lucrative currencies more such as EURNOK?
EUR/NOK is pip quoted to 4 decimal places. That means a pip is .0001. Your first example is only a 6 pip move for that pair.
Regardless, a 60 pip move in USD/JPY is not the same as a 60 pip move in EUR/NOK. Both of them have pip values that vary with the market exchange rates. It is only non-USD base pairs (for USD denominated account) like EUR/USD and GBP/USD that have fixed pip values based on trade size. For example, the pip value of a $100,000 USD/JPY trade at 118 is about $8.47, while at 120 it’s $8.33.
As for why more people don’t trade EUR/NOK and the other European crosses, it’s a question of time and volume. They are active during the European trading day, but drop off significantly outside it.