How to measure pips in XAUUSD? | Metals Mine

Options

Permalinks
Print Thread

Similar Threads

Let's talk about gold - XAUUSD 42 replies

Do You Trade XAUUSD (Spot Gold)? 39 replies

What is the action now in XAUUSD? 25 replies

Position Sizing with XAUUSD, XAGUSD and WTI 1 reply

XAUUSD (spot gold) update 54 replies

Attachments: How to measure pips in XAUUSD?
Exit Attachments

How to measure pips in XAUUSD?

  • #1
  • First Post: Sep 30, 2013 9:04am Sep 30, 2013 9:04am
If I messure 1000 points on XAUUSD in MT4 is it considered 10pips or 1000 pips?

If XAUUSD moves from 1300 to 1301 it should be 1 pip right? But my MT is showing 100 points ECN MT even shows 1000 points in a move like that.
Why is it measuring so differently from normal currency pairs like EURUSD?


IF I want to make 1% profit on 10k 1:50 leverage account in XAUUSD then how many points/pips do I need to make with 100 points spread and 1.00 lot ? Is it 200points?
  • #2
  • Sep 30, 2013 9:25am Sep 30, 2013 9:25am
In gold it is better to think in dollars and cents, not pips. Technically, a pip is $0.01, or one cent. If you trade 0.01 lots and price goes $1.00 in your favor, you make $1.00. The spreads typically are $0.40-$1.00, depending on the broker. Yes, a dollar move is 100 pips.

1% profit of 10,000 is $100. If you trade with a full 1.0 lot, each dollar is worth $100, so it only needs to move $2, to cover your spread and net $100 profit. Yes, 200 "pips". Just your slippage can be more than $2, so plan big.
Too close for pips, switching to points.
  • #3
  • Sep 30, 2013 9:55am Sep 30, 2013 9:55am
Quoting Thepipster
In gold it is better to think in dollars and cents, not pips. Technically, a pip is $0.01, or one cent. If you trade 0.01 lots and price goes $1.00 in your favor, you make $1.00. The spreads typically are $0.40-$1.00, depending on the broker. Yes, a dollar move is 100 pips. 1% profit of 10,000 is $100. If you trade with a full 1.0 lot, each dollar is worth $100, so it only needs to move $2, to cover your spread and net $100 profit. Yes, 200 "pips". Just your slippage can be more than $2, so plan big.
It made it so much more clear for me now! Thank you for your answer!
  • #4
  • Mar 1, 2019 9:25pm Mar 1, 2019 9:25pm
Thanks
  • #5
  • Mar 1, 2019 9:55pm Mar 1, 2019 9:55pm
Quoting LongForDeep
If I messure 1000 points on XAUUSD in MT4 is it considered 10pips or 1000 pips? If XAUUSD moves from 1300 to 1301 it should be 1 pip right? But my MT is showing 100 points ECN MT even shows 1000 points in a move like that. Why is it measuring so differently from normal currency pairs like EURUSD? IF I want to make 1% profit on 10k 1:50 leverage account in XAUUSD then how many points/pips do I need to make with 100 points spread and 1.00 lot ? Is it 200points?
Dear LongForDeep,

MT4 shows the distance of the crosshair indicator as points, and you noticed that. All you need to do is simply divide by 10 to get pips because 10 points is equal to 1 pip generally on most brokers.

So, 1000 points / 10 = 100 pips

Kind Regards,
Tzamo
"Work hard, put in the effort, and follow your dreams..." -Me
  • #6
  • Mar 1, 2019 10:06pm Mar 1, 2019 10:06pm
Quoting tzamo
{quote} Dear LongForDeep, MT4 shows the distance of the crosshair indicator as points, and you noticed that. All you need to do is simply divide by 10 to get pips because 10 points is equal to 1 pip generally on most brokers. So, 1000 points / 10 = 100 pips Kind Regards, Tzamo



I'll look at this...
  • #7
  • Mar 2, 2019 8:10pm Mar 2, 2019 8:10pm
Quoting tzamo
{quote} Dear LongForDeep, MT4 shows the distance of the crosshair indicator as points, and you noticed that. All you need to do is simply divide by 10 to get pips because 10 points is equal to 1 pip generally on most brokers. So, 1000 points / 10 = 100 pips Kind Regards, Tzamo
Dear LongForDeep,

Just wanted to add a follow up to help you calculate this in the future. See the formula below in my picture, you can make the same thing by putting the calculations in excel to play around with lot sizes.

Yes, with the spread you mentioned and your account base currency as USD, you will need a 200 points (20 pip move) to make $100, provided no slippage occurs. If your base currency is different, you will have a different $ value per point of movement, so that is important to consider

Attached Image


Kind Regards,
Tzamo
"Work hard, put in the effort, and follow your dreams..." -Me
  • #8
  • Jul 15, 2019 2:56pm Jul 15, 2019 2:56pm
Quoting Thepipster
In gold it is better to think in dollars and cents, not pips. Technically, a pip is $0.01, or one cent. If you trade 0.01 lots and price goes $1.00 in your favor, you make $1.00. The spreads typically are $0.40-$1.00, depending on the broker. Yes, a dollar move is 100 pips. 1% profit of 10,000 is $100. If you trade with a full 1.0 lot, each dollar is worth $100, so it only needs to move $2, to cover your spread and net $100 profit. Yes, 200 "pips". Just your slippage can be more than $2, so plan big.
Nicely put! Thanx for the refresher!

Quoting tzamo
{quote} Dear LongForDeep, Just wanted to add a follow up to help you calculate this in the future. See the formula below in my picture, you can make the same thing by putting the calculations in excel to play around with lot sizes. Yes, with the spread you mentioned and your account base currency as USD, you will need a 200 points (20 pip move) to make $100, provided no slippage occurs. If your base currency is different, you will have a different $ value per point of movement, so that is important to consider {image} Kind Regards, Tzamo...
TY for this Tzamo!
  • #9
  • Jul 15, 2019 3:30pm Jul 15, 2019 3:30pm
It is best to stick to the good ol PERCENTAGES Because one might get lost or the communication among (different type/pair of traders might get lost/distorted like this metric/imperial airport situations).... But should you need info about pips... I would recommend... https://www.investopedia.com/ask/ans...pexplained.asp

in XAUUSD 1pip is 0000.01
Can you afford to take that chance?
  • #10
  • Last Post: Jul 16, 2019 4:08am Jul 16, 2019 4:08am
Quoting auricforecas
It is best to stick to the good ol PERCENTAGES Because one might get lost or the communication among (different type/pair of traders might get lost/distorted like this metric/imperial airport situations).... But should you need info about pips... I would recommend... https://www.investopedia.com/ask/ans...pexplained.asp in XAUUSD 1pip is 0000.01

You are correct for a 5 digits broker but there are many 4 digits brokers out there
0 traders viewing now