Defining the unit
A pip is normally the fourth decimal place of a quote, or the second decimal place on yen pairs. It is a unit of movement, not of money.
The cash value of a pip depends on position size and the quote currency.
Key takeaways
- 0.0001 on most pairs
- 0.01 on yen pairs
- Cash value depends on lot size
Trading leveraged products carries significant risk. This content is educational and is not financial advice.