1. Home
  2. Business & Finance
  3. Forex Trading

Pip

By John Russell, About.com

Definition: Pip stands for percentage in point. A pip is equal to 1/100th of 1 percent.
Examples: If you buy the EUR/USD pair at 1.40 and sell it at 1.41 you have gained 100 pips.

Explore Forex Trading

More from About.com

  1. Home
  2. Business & Finance
  3. Forex Trading
  4. Forex Glossary
  5. The Definition of Pip

©2008 About.com, a part of The New York Times Company.

All rights reserved.