Pips question

Beginner Questions
1

Hey everybody,

I’m brand new to Forex. I will start SIM trading today but I am a little confused about calculating pips. I will be using the EUR/USDm and I’m trying to understand pips.

For example on the EUR/USDm daily chart the price closed at 1.32650 If I wanted to place a pending order at 50 pips above the closing price would that be 1.3315 or 1.3270?

2

switcher,

[B]1.32650 + 50 pips = 1.33150[/B] (showing the 5th decimal place, to be consistent).

For all currency pairs EXCEPT the yen pairs, the 5th decimal place represents one-tenth of a pip, the 4th decimal place represents 1 pip, the 3rd decimal place represents 10 pips, etc.

For all yen pairs, the 3rd decimal place represents one-tenth of a pip, the second decimal place represents 1 pip, etc.

Clint

3

Thanks for the info