A pip is the fourth decimal place on most currency pairs (0.0001). Its value depends only on how much you trade, not on your account type.
Pip value = 0.0001 × units traded
Trade size | Units | Value of 1 pip on EUR/USD |
1 lot | 100,000 | $10.00 |
0.1 lot | 10,000 | $1.00 |
0.01 lot | 1,000 | $0.10 |
Japanese yen pairs use 0.01 as the pip. For pairs not quoted in US dollars, the pip value is converted at the exchange rate. Example: USD/JPY at 150.00 gives (0.01 ÷ 150) × 100,000 = $6.67 per pip.
You don't need to work this out yourself: MT5 shows the pip value for every instrument.