Forex Profit Calculator

Calculate your estimated profit, loss, and pip difference for foreign exchange trades.

Estimated Profit/Loss$500.00
Pip Difference0.005

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Understanding Forex Profit

Foreign Exchange (Forex) trading involves buying one currency while simultaneously selling another. Because price movements are extremely small, they are measured in "pips" (Percentage in Point). Traders use leverage to control large trade sizes to magnify these small movements into significant profits (or losses).

What is a Pip?

A pip is usually the fourth decimal place in a currency pair (e.g., 0.0001). If EUR/USD moves from 1.1000 to 1.1050, it has moved 50 pips.

Worked Example

  1. Trade Size: 100,000 units (1 Standard Lot)
  2. Entry Price: 1.1000
  3. Exit Price: 1.1050
  4. Action: Buy
  5. Pip Difference = 1.1050 - 1.1000 = 0.0050 (50 pips)
  6. Profit = 0.0050 * 100,000 = $500.

Frequently Asked Questions

What is a standard lot?

A standard lot is 100,000 units of the base currency. A mini lot is 10,000 units, and a micro lot is 1,000 units.

Disclaimer: This calculator is for educational and informational purposes only. It is not a substitute for professional financial advice. Results are estimates based on the information provided and may not reflect actual outcomes. Please consult with a qualified financial advisor, accountant, or tax professional before making any financial decisions. Past performance does not guarantee future results.