What is a pip?

What is a pip?

WHAT IS A PIP : PIP ak acronym ha percentage ka liya point or price interest point ka liya. Pip ak smallest hole unit ke price ha jo ka move hoti ha jo ka exchange rate banai ha or ya based kar raha hota ha forex market ka convention par. Bahot si currency pairs priced out hota ha four decimal prices ma hota ha or ya in ma single pip hota ha last ma fourth decimal place ka. Jo ya pip ha ya equivalent ha 1/100 ha 1%or ya one base point ka. For example, jo smallest whole unit ha ya move ho rahi ha USD/CAD ki currency pair ma ya banay ga 0.0001$ or ya one basis point par ha. Jo forex currency pairs ha ya quoted hota ha term pips, short or percentage hota ha points ka. Jo percentage terms ha isa jo pip ha ya one hundredth ha one percent ka or ya appears hoti ha fourth decimal place ma jasa ka 0.0001. Jo ya pip ha ya equal hota ha one basis point par. Jo bid or ask spread hota ha forex quote M ya measured hota ha pips sa. Japanese yen ak exception ha q ka is ki jo exchange rate ha ya extends ha sirf two decimal places past ma decimal point ka or four ka. UNDERSTANDING PIPS : Ya pip ak basic concept ha foreign exchange ka liya forex ma. Jo forex traders ha ya buy or sell karta ha currency ko jis ma jo value hoti ha ya expressed hoti ha relation kar ka other currency ka sath. Quotes hota ha is forex pairs ka appear hona sa ya bid or ask aprrads ha jo ka accurate hota ha four decimal places ka sath. Jo movement hoti ha exchange ka rate ma is ko measured kiya jata ha pips sa. Bahot sa curreny pairs ha ya quoted hota ha maximum jo ka four decimal places sa hota ha, jo smallest or whole unit hoti ha change ki ya in pears ka one pip sa hoti ha. CALCULATING PIP VALUE : Jo value hoti ha pip ki ya depends kar rahi hoti ha currency pair par, exchange rate or trade value par. Agar ap ka account ha ya U.S dollers or USD ki ha to jo second pair ha jasa ka EUR/USD pair to is ma jo pip ha ya fixed ha 0.0001 ha. Is case ma jisa jo value ha one pip ki is calculated karni ha multiplying kar ka trade ki value ko 0.0001 sa. To jo EUR/USD pair ho ga is ma multiple trade ki value ho ge yani ka 10000 euros ko 0.0001sa.to jo pip value ho ge ya 1$ ho ge. Gagar bought kiya ha 10000 euros ko against dollars jo ka 1.0801 ha or sold kiya ha 1.0811 par to is ma make kiya ha 10 pips ko or 10$ ko. Or dosri side par agar jo USD ha ya first ma hoti ha pair ka jasa ka USD/CAD pair to jo is ma pip value involve ho ge exchange rate ma. Divide kiya jay ga pip ka size ko exchange rate sa or multiple kiya jay ya trade ko value sa. For example, 0.0001 ko divided kiya jay USD/CAD exchange rate sa jo ka 1.2829 ha or is ko multiplied kiya jay standard lot size sa 100,000 ka results pip value ma 7.79$ ho ga. Or agar hum bought karta ha 100,000 USD ko against ma Canadian dollar ka jo ka 1.2829 ha or is ko sold karta ha 1. 2830 par to jo profit karay ga ya 1 pip ka ho ga or ya 7.79 ho ga. Japanese yen pairs ha ia ma quoted 2 decimal places ma ha, yaarking kar raha ha notable exception ko four decimal place ka rule ma. Currency jo ka EUR/JPY or USD/JPY ha is ma jo value ha pip ha ya 1/100 divided ho raha ha exchange rate sa. PIPS AND PROFITABILITY : Ya jo movement hoti ha exchange rate ki currency pair ma ya determines hoti ha jis ma traders banata ha profit or loss ko day ka end par. Traders jo buy karta ha EUR/USD ko or profit karta ha agar jo ya euro ha ya increases karta ha value ko US dollars ka relative sa. Ggar traders bought karta ha euro ko 1.1835 par or exited karta ha trade ko 1.1901 par to ya banay ga 66 pips ko trade ma. Agar consider karay traders ko jo buys karta ha Japanese yen ko or selling kar ka USD/JPY pair ko 112.06 sa. To traders loses karay ga 3vpips ka trade ma or ya close ho ga position ka out ma 112.09 ka. Or jo profit ho ga ya 5pips ka ho ga agar ya close out ma hoti ha 112.01 par. Or agar difference ko small ma dakha to,ulti trillion dollar ha foregn ma or exchange marketa karta ha to gain or losses add ho ga bahot hi quickly. For example, 10$ miion dollers ki position ha or is ko closed karta ha 112.01 par to traders is ma banay ga 500,000Â¥ ko. Or U.S dollars ma 4,463.89$ ho ga. REAL WORLD EXAMPLES OF PIP : Jo combination ha hyperinflation or devaluation ha ya push karay ga exchange rates ko os point ma jis ma unmanageable ho ge. Agar addiction karna ha impacting ko consumers ma to ya forced karay ga or ya carry karay ga large amount cash ma ya banay ga trading ko unmanageable or jo concept ho ga is kaatlab ha ka jo pip ha ya loses karay ga. Huma pata ha historical example ha jo ka place hoi ha Germans Welmar Republic, jab exchange rate collapsed hua tha pre World War 1 jo level tha market ka 4.2 marks per doller par tha or 4.2 trillion dollar marks per tha jo ka November 1923 ma hoi the. Or ak or case point ha jo ka Turkish lira ma hua tha isa reached hua tha level 1.0 million per dollar ka 2001 ma is ma bahot sa trading system accommodate ni hua tha. Jo government the is na eliminated kiya tha size zeros jo exchange rate sa or is ko renamed kiya tha or jo new ha ya Turkish lira. January 2021, ma jo no average exchange rate tha ya stands tha bahot hi reasonable 7.3 lira per dollar par.