Direct answer
In forex, you do not earn a fixed amount “per pip” by default. The profit (or loss) caused by a 1-pip price move depends mainly on (1) the lot size you trade and (2) the currency pair’s pip value, then adjusted into your account currency.
If you have a pip value of V per 1.0 lot (in the relevant currency), then a 1-pip move changes your position by about V × lots. This is the core way to think about “how much do you make per pip.”
Mechanics: what determines pip profit
A pip is the standard unit of price movement for FX. For many currency pairs quoted to five decimals, 1 pip is typically 0.0001; for many JPY pairs quoted to three decimals, 1 pip is typically 0.01. “Typically” matters: the exact pip definition can vary by platform and by how a broker defines it.
A lot size is the size of your position in the base currency (commonly standardized, such as 1.0 lot representing 100,000 units). The pip value is the monetary value of a 1-pip move for a given lot size.
Because pip value depends on the pair’s quote structure, it may be expressed in a currency related to the pair (often the quote currency, or a derived currency). To estimate what your account actually “makes per pip,” you may need to convert that pip value into your account currency using prevailing exchange rates at the time of calculation.
A simplified relationship is:
- Estimated profit per pip ≈ pip value × number of lots
- If pip value is not in your account currency: convert pip value first, then multiply.
Example and checks you can do
Example (conceptual): suppose your platform shows that for your chosen pair, 1.0 lot = a 1-pip value of V in a currency you can interpret. If you trade 0.50 lots, then the 1-pip move is about 0.5 × V in that same currency (before any trading costs).
Independent checks:
- Look for a “pip value” field on your platform’s position/trade summary. If it is provided per lot, multiply by your lot size.
- Verify the pip size your platform uses (for example, whether it treats 1 pip as 0.0001 or 0.01 for your specific pair).
- Confirm how the platform expresses pip value (base currency, quote currency, or account currency). If it’s not your account currency, you’ll need conversion.
Limitations and risks of the calculation
This pip-profit estimate is a model of the price move alone; it does not guarantee real outcomes. Even if the pip value math is correct, actual results can differ due to:
- Spreads and execution: you enter and exit at bid/ask prices, not mid prices.
- Rollover/financing: overnight charges or credits can affect net profit.
- Slippage: the realized fill price may differ from the expected one.
- Pip definition differences: some platforms may define pip or pipettes differently.
So, the safest statement is: your “make per pip” is computable from pip value and lot size, but your net per-pip result in real trading depends on additional transaction details and the pip definition used by your platform.