Need an idiot’s guide to what a pip is!

Did you try School of Pipsology yet in the Education section. Hint - you are likely to get answers to questions that are not in the pre-school or kindergarten classes of the school - questions that are not so basic. There is no such person as an idiot on this forum. But there are those who do not read stickys first, or spend at least a few minutes browsing content before asking questions. It stands for percentage in points, but you will need to read a bit for a full understanding

A pip is the unit of measurement used to express the change in value between two currencies. Most currency pairs are priced out to four decimal places and the pip change is the last (fourth) decimal point. You can also say that a pip is equivalent to 1/100 of 1% or one basis point.

Sure thing - thanks!

Nice - thanks!

Hello @eliza_king,

Check out this lesson in the School of Pipsology for a detailed explanation: What is a Pip in Forex?

Pipzilla

Basically it is the short form for percentage in point. It is used to represent a unit of change that takes place in the exchange rate of a specific currency pair. You can measure in terms of the quote or the underlying currency.

Pip is the smallest price movement in a financial market. PIP is actually an acronym for Percentage In Point. I think pips are better measurement of trading performance (rather than actual amounts/profits) because they are uniform across all lot sizes. Getting consistent pips is great because you can just adjust the lot size accordingly.

Thanks for this!

Nice, thanks!!!

Thanks for replying!

A pip is a defined unit that represents the smallest change in a currency quote. For U.S.-dollar-related currency pairs, it is $0.0001, which is equal to 1/100th of one percent, or one basis point.