July 14, 2020 6/25/ · The actual profit or loss will be equal to the position size multiplied by the pip movement. Let's look at an example: Assume that you have a , GBP/USD position currently trading at . Formula: Pip profit (loss) x lot size x tick size = USD profit (loss) 35 (pip profit) x , (lot size) x (tick size) = USD \$ profit. INDIRECT RATES Most currencies are traded indirectly against the U.S. Dollar (USD), and these pairs are referred to as indirect rates. To calculate your profit or loss, you take the selling price of \$, subtract the buying price of \$ and multiply the difference by the transaction size of , (\$ – ) X , = \$ To calculate your profit or loss, you take the selling price of \$, subtract the buying price of \$ and multiply the difference by the transaction size of , (\$ – ) X , = \$ Formula: Pip profit (loss) x lot size x tick size = USD profit (loss) 35 (pip profit) x , (lot size) x (tick size) = USD \$ profit. INDIRECT RATES Most currencies are traded indirectly against the U.S. Dollar (USD), and these pairs are referred to as indirect rates. 6/25/ · The actual profit or loss will be equal to the position size multiplied by the pip movement. Let's look at an example: Assume that you have a , GBP/USD position currently trading at . 8/27/ · With the pip value established, the total profit on the trade is 50 x 5 x \$ = \$ Example 2 If we buy 1 standard lot (\$,) USD/CAD at an exchange rate of , each pip move in your favour will be worth \$8. Pip Value = ( / ) * = 8 USD. It works out to 50/ = EURO. This point has been explained just for the academic interest as all the forex trading brokers display your profit and loss in USD terms. Calculation of Profit and Loss for USD/CHF Trade. Buy trade executed at and sell trade executed at Profit/Loss = – = OR 15 Pips. Formula: Pip profit (loss) x lot size x tick size = USD profit (loss) 35 (pip profit) x , (lot size) x (tick size) = USD \$ profit. INDIRECT RATES Most currencies are traded indirectly against the U.S. Dollar (USD), and these pairs are referred to as indirect rates.  