clemG

hehe

ok mate, wipe your mind clean … ok

- The reason why you are confused is because it’s common for the industry to confuse you and a lot of poeple you talk to … chances are, they will not understand what a POINT vs PIP vs PIPPETTE is

now… Babypips is correct on the definition of a pip

but let’ me also say it another way

- Let’s talk dollars and cents first

You have $1 right

and you have subdivisions of that dollar called CENTS and

we have a certain amount of cents in the dollar (Depending on where we live)

so… 100 cents = 1 dollar (obviously)

what you take away from this is… MAIN PART and SUB PARTS

- some instruments are confusing, like Japenese Yen

so… before we get onto your instrument, let’s just UNDERSTAND A CONCEPT HERE… ok

USD JPY (Dollar Yen) = 111.290 (note in ends in 3 decimal places)

EUR USD (Euro Dollar) = 1.18818 (note…5 Decimal places)

so now

Understand these prices are quoted in terms of POINTS not pips

also understand YOUR CROSSHAIR on MT-4 is showing you POINTS

there

10 POINTS = 1 PIP

also, a Pippette and a Point are exactly the same thing

Just call it Points and Pips… ok it’s simpler

Now. now that you understand that…

if i’m trading EUR USD (Forget pip spreads ok)

and i start at 1.18818

and i buy

and i take profit at 1.18828

this is… 10 POINTS 28-18 = 10

Therefore it’s 1 PIP profit

it’s easier if you do this

when you look at the quote 1.18818

imagine it like this 1.1881 8

or like this 1.1881 . 8

or you can just forget it like this 1.1881

on your chart WITH YOUR CROSSHAIR if you measure the distance from 1.18818 to **1.18828 it will show

10

THIS MEANS 10 POINTS or 1 Pip

got it

now

USD JPY works like this

111.290

so… drop off the zero

look at it like this 111.29

or like this 111.29 0

or like this 111.29 . 0

so 1 pip would be 111.290 to 111.300

or 111.29 - 111.30 Make sense

Your cross hair will say 10

meaning 10 points or 1 pip

now… i don’t trade your index, but i can give you this advice to figure out what is a pip and point

Method 1

Open the chart, go to the little arrow in the top right corner and drop dwon the price

if the price is say… 6386.70 and the zero is the last number and IT IS SMALLER THAN THE OTHER NUMBERS then it means the price in pips is 6386.7 got it

Method 2 : get your cross hair and drag down so it says 1,000 1 thousand points will be 100 pips

Method 3 : because indexes are weird unlike say EUR USD where 1.0 Lots = $1 per pip, Indexes are different, i would suggest doing a chat session with your broker and ask him this

what is the minimum lot size for USTech100

if US TECH 100 Moved 1 pip how much money would i profit assuming no pip spread and that i won the trade

so let’s say they say it’s something like a min of 1.0 Lots and you make $1.40 if it moves 1 Pip

that then means that 1 pip = $1.40 worth of profit,

but more importantly… hehe if it goes against you, it means you are chewing through money quickly

so 10 pips would be $14

and 100 would be $140 lost

see what i mean

the easiest way for you to figure this out is

CROSS HAIR HAS TO SAY 1,000

another way is

open a demo and put down 1.0 Lots and see what happens

test it from 6386.70 to 6386.71

and from 6386.70 to 6386.80

put both trades down at the same time and see what happens

you’ll notice that one will be a few cents say like 1.3 cents and the other will be $1.30 or something like that

so… the one that is closes to the dollar is correct

then confirm the distance with your crosshair to doublecheck it

AS FOR TRAILING STOPS

don’t use Automatic Trailing stops

Trail it Manually

lastly, there are no stupid questions (unless you want to challenge if the earth is flat or if gravity exists) hehe

be cool mate