Page 33 - Trading #101 Course – PART II TWO: SUCCESSFUL TRADING PIE – www.traderscoach.com
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TRADING #101 COURSE – PART II TWO: SUCCESSFUL TRADING PIE – WWW.TRADERSCOACH.COM
PIPs Are the Unit of Movement In Forex
A pip is the unit of movement in the forex market. Most currency pairs are quoted using
five digits. The placement of the decimal point depends on whether it’s a JPY currency
pair or not. If it is a JPY pair, there are two digits behind the decimal point. For all other
currency pairs, there are four digits behind the decimal point.
It is the last digit that is considered the pip.
For example:
• EUR/USD price moves from 1.4362 to 1.4392 it has just gone up by 30 pips.
• USD/JPY price moves from 83.31 to 83.51 it has just gone up by 20 pips.
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