CFD - Pip value
The pip value for CFDs is calculated using the following formula:
where:
- K — Profit Currency (second currency in the symbol) to Deposit Currency conversion rate.
- Volume — volume of position in lots.
- Lot Size — number of ounces, barrels or commodity units in one lot.
- Digits — number of decimal places.
Example:
- Trade: #UK100
- Conversion rate (K): 1.6127
- Volume: 1 lot
- Lot Size: 1
- Digits: 1
Pip value: 1.61 (USD)
Example:
- Trade: US Crude
- Conversion rate (K): 1
- Volume: 1 lot
- Lot Size: 1
- Digits: 2
Pip value: 10 (USD)
Related Articles
CFD - Commission
Commissions for cryptocurrency and stock CFDs at FXOpen are calculated using a standard formula based on the transaction volume, with the broker's base commission calculated as a percentage of the contract value (in accordance with FXOpen's ECN ...CFD - Contract For Difference
Contract For Difference is an agreement (guarantee liability) between two parties on the payment of the difference between asset's current value and its value at the end of the agreement period. In fact, the parties conclude an asset buy/sell ...What's SWAP?
What is SWAP? In simple terms, a swap is an interest rate that is paid or charged to you at the end of each trading day. Let's consider this in more detail using the example of buying a EUR/USD pair. For this transaction, the trader takes a loan from ...CFD - Calculation of dividends when trading Stocks and ETFs CFDs
Deduction and accrual of dividends when trading Stocks CFDs and ETF CFDs A Contract for Difference (CFD) is a derivative instrument, underlying assets (stocks, indices) of which are traded on stock exchanges. When trading CFDs on a company's shares, ...PAMM ECN
Financial instruments: FX Spot, Metals CFD Trading platforms: MetaTrader 4, MetaTrader 5 Symbol Description 1 Lot Contract Size Min Trade Step Digits 1 pip value of 1 lot Market Order Max Slippage Stop Order Max Slippage Margin* AUDCAD ...