For a basic question, how do you add/subtract pips? For example:
Adding 9 pips to 1.34567 would it look like 1.34567 + 0.00090 = 1.34657 ?
Adding 99 pips to 1.34567 would it look like 1.34567 + 0.00990 = 1.35557 ?
Adding 999 pips to 1.34567 would it look like 1.34567 + 0.09990 = 1.44557 ?
Adding 9999 pips to 1.34567 would it look like 1.34567 + 0.99990 = 2.34557 ?
Subtracting 999 pips from 1.34567 would it look like 1.34567 - 0.09990 = 1.24577 ?
What if it’s a JPY pair? For example:
Adding 9 pips to 1.34 would it look like 1.34 + 0.09 = 1.43 ?
Adding 99 pips to 1.34 would it look like 1.34 + 0.99 = 2.33 ?
Adding 999 pips to 1.34 would it look like 1.34 + 9.99 = 11.33 ?
Adding 9999 pips to 1.34 would it look like 1.34 + 99.99 = 101.33 ?
Subtracting 999 pips from 1.34 would it look like 1.34 - 9.99 = -8.65 ?
I’d appreciate any input. Thanks
P.S. I feel silly asking about this, but I’m uncertain about simple calculations for stops.
But in the last example “Subtracting 999 pips from 1.34 would it look like 1.34 - 9.99 = -8.65 ?”
When I attempt to solve it longhand I get this:
1.34
[U]-9.99[/U]
-9.35
I carry 1 from 3 to subtract 9 from 14, then carry 1 from 1 to subtract 9 from 12, then subtract 9 from 0
What am I doing wrong???
[QUOTE=“dcny;605997”] Thanks Zaghloul, But in the last example “Subtracting 999 pips from 1.34 would it look like 1.34 - 9.99 = -8.65 ?” When I attempt to solve it longhand I get this: 1.34 -9.99 -9.35 I carry 1 from 3 to subtract 9 from 14, then carry 1 from 1 to subtract 9 from 12, then subtract 9 from 0 What am I doing wrong???[/QUOTE]
Since 9.99 is > 1.34, switch the signs and do this … 9.99 - 1.34
no don’t switch the sign. The mistake is to take a rate of 1.34 for USDJPY, this is unrealistic. The reason we use 0.01 as a pip for this currency is because its rate is around 100, if the rate of USDJPY was around 1 we would use 0.0001 as a pip value.
Definitely don’t switch the sign! You can’t really have a negative rate anyways, your example is wrong. As I said (and Orpexo said), A JPY pair will have at least 2 numbers to the left of the decimal.
I’m fully aware of what the OP asked. While you are correct in the simple math part, you can’t stick a decimal in the pip part. So subtracting 9.99 from 1.34 would be useless math trying to figure pips, and that was the point of the question in the first place.
999 pips from 1.3400 (as in the EUR/USD) would be 1.2401. Yen pairs would be a tad different. 103.50 - 999 pips (as in the USD/JPY) would be 93.51.
What I’m looking for is an explanation of how to count pips as decimals.
For instance, to add 10 pips, I need to know how to represent 10 pips with its decimal point. I can’t just say for instance, 1.34567 + 10, instead it must look something like 1.34567 + 0.0010 but I’m unsure. And when it comes to JPY pairs there’s only two decimal points, would adding 10 pips to 103.00 pips look like 103.00 + .10 or adding 100 pips, should it look like 103.00 + 1.00 ?
Lets say we trade Audcad which is right now at 0.9800 and we go long and we have a size that is 1 euro gain /loss per pip . The trade, lets say it goes the other way and it falls at 0.001. We will be losing 9799 pips right? /9799 euros according to our position size ?