Pip value has always confused the investors in understanding profit & loss calculations in various instruments.
It has also plays an important play in risk management by providing information about stop losses and take profits. The pip value of any
particular pair depends on the quote currency and it is different for different quote currency. It also varies with lot size that you are trying to place.
How Pip Value Is Calculated?
Pip value= (No. of Lots * Contract Size * Pip in Decimal Place) * (Quote currency conversion rate)