Profit/Loss Calculator

What each variable means:

• Price move — The difference between the close price and the open price, in the instrument's own units. A sell flips the subtraction, since a falling price is a profit when you're short.
• Pips — A pip (percentage in point) is the standard unit of price movement in forex and gold trading. Dividing the price move by the pip size tells you how many pips the trade covered.
• Pip size — The smallest price move counted as 1 pip for a given instrument: 0.01 for XAU/USD and most JPY pairs, 0.0001 for most other forex pairs.
• Value of 1 pip (USD) — Pip size × contract size, scaled to your lot size. It's the dollar amount that changes hands for every pip the price moves.
• Lots — The size of your position: 1.00 lot (standard), 0.10 lot (mini), and 0.01 lot (micro) are common sizes.
• Direction — Buy (long) profits when the price rises; sell (short) profits when it falls, which is why the price move formula flips for a sell.

Example: buying 0.10 lot of XAU/USD at $2,400.00 and closing at $2,412.50 gives a price move of $12.50, or 1,250.0 pips at a pip size of 0.01. Value of 1 pip (USD) at 0.10 lot = 0.01 × 100 × 0.10 = $0.10, so profit = 1,250.0 × 0.10 = $125.00.

Why buy and sell measure the price move in opposite directions

A buy (long) position profits when the close price ends up higher than the open price, so profit or loss follows close price minus open price directly. A sell (short) position profits when price falls, so the calculator flips the subtraction to open price minus close price. Getting the direction right matters, because using the wrong sign turns a profit into a loss on paper.

Why USD/JPY and similar pairs convert at the close price

XAU/USD and EUR/USD already price in USD, so their pip value never needs converting. USD/JPY, USD/CHF, and USD/CAD quote in a currency other than USD, and that exchange rate moves with the market just like the trade itself. Converting pip value at the close price keeps the calculation tied to the same moment the trade actually ended, rather than a rate you typed in separately.

Why your real profit will likely come in a little lower

This calculator works from the open and close price alone, so it doesn't include the spread (the gap between a broker's buy and sell price), any swap (the overnight financing charge for holding a position past end of day), or a commission your broker might charge per trade. Each of those costs chips a small amount off the result shown here. Check your broker's trade confirmation for the number that actually landed in your account.