EDIT: FIGURED IT OUT…BAD MATH

Hey All,

I’m trying to make sure I have a good understanding of pips, money, and risk.

I don’t understand how to convert pips to a dollar value to ensure I’m not breaking my 1% per trade rule.

Using the school’s example…

USD/CHF:

```
1.5250
.0001 divided by exchange rate = pip value
.0001 / 1.5250 = 0.0000655
```

- for $1 US, each pip is worth $0.0000655?
- But if I have bought a mini lot I need to x10,000, so $0.655?
- And I’m leveraged 100:1, so $65/pip?

What am i not getting? If I had a $10,000 account a movement of 2 pips would be breaking my 1% rule.

- Am I calculating wrong?
- 1% is too low
- Over leveraged?
- Or buying to large of lot sizes?