Pips in MetaTrader 4

Beginner Questions
1

Hello guys, I’m new on this forum (new in Forex market as well) and I have a problem/question.

Example:
I trade GBPUSD pair, going short.
Price action: 1.41924
Take profit: 1.40950

How many pips are here?
Babypips says:
“A pip is usually the last decimal place of a quotation.”
“For instance, if GBP/USD moves from 1.30542 to 1.30543, that .00001 USD move higher is ONE PIPETTE.”

So this means that a pip for GBPUSD is the forth decimal.

So 4192.4-4095 = 97.4 I guess

But MT4 says there are 974 pips.

Am I missing something?
Thank you.

2

No…
what MT-4 is saying is 97.4 pips

Your calculation is correct it’s 97 . 4 pips

the crosshair ALWAYS MEASURES IN POINTS / PIPETTE

SO… your next question may be
why does MT-4 say PIPS Then ?

well mate
there is a misconception and confusion in the industry as to the definition of a pip
you are going to hear different stories

all that matters is this

  • do you understand what the cross hair is showing

  • do you understand how to count pips
    THAT’S IT

so… what you are calculating is correct LEAVE IT AT THAT and you’ll be fine

2 Likes
3

Its very true, there is a very huge misconception and confusion in the industry as to the definition of a pip… Some will say “pip” standards for “Price interception point” while others will say “Percentage in price”. What’s important is that your calculations are correct.

1 Like
4

Very true…
and… Your TV Remote control will call it PICTURE IN PICTURE hehe
but that doesn’t really matter does it
the name is irrelevant

Understanding what it is is important

2 Likes
5

Thank you @anon81929759 and @dada2016 for your responses. It’s understandable now :smiley:

6

You’re welcome mate
i just like to muck around sometimes that’s all