So today i open my MT4 on USD/EUR chart and try a demo account, it shows that i get 10 pips and from babypips calculation it shows me that i supposed to get around $1 every pips, But my metatrader shows me that i get only $0.1 by trading 0.1 lot, so i get $1 for 10 pips instead of $10
her is the calculation that i use, to calculate profit per pip
EUR/USD at an exchange rate of 1.0868 (.0001 / 1.0868) X 10,000 = $0.920
please tells me if you need some screenshot
thanks
Heyy,
A screenshot will help surely to suggest you better but i think you should clear some of your doubts here.
First of all in Forex Market when you are trading in EUR/USD or any other pair whose quoted currency is USD your value, the value for 1 pip is $10. And if you made a profit of 10 pips it means you made $100 but wait a minute. First you have to define how many lots have you traded. i.e how many units. Like in your case you have traded for 0.1 lots which mean 10000 units. In that case your pip calculation will fall to $1 per pip. And above that you broker will be charging you commission and you might also have rollover charges.
Is there something to do about my brokerage or my account type? for example if i open a mini account and that means every 1lot that i trade is 10000 units instead of 100000?