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Profit or loss in forex trading is determined by the price difference between your entry and exit, multiplied by your position size. For a buy (long) trade, you profit when the price rises. For a sell (short) trade, you profit when the price falls.
The formula is straightforward: Profit = (Exit Price − Entry Price) × Lot Size × Contract Size for a buy trade. For a sell trade, reverse the entry and exit prices. The result is in the quote currency of the pair.
For example, buying 1 standard lot of EUR/USD at 1.0800 and selling at 1.0850 yields a profit of (1.0850 − 1.0800) × 100,000 = $500. The same 50-pip move on 0.1 lots would yield $50, and on 0.01 lots just $5.
Read the explainerSpread vs Commission: What You're Actually Paying to Trade
Profit = (Exit Price − Entry Price) × Lot Size × Contract Size for a buy trade. For a sell trade: (Entry Price − Exit Price) × Lot Size × Contract Size. The result is in the quote currency.
Pips measure the price movement. Dollar profit depends on both the pip movement and your position size. A 10-pip move on 1 standard lot of EUR/USD = $100. The same 10 pips on 0.01 lots = $1.
This calculator shows the gross profit/loss based on price movement. Your actual net profit will be slightly lower after accounting for the spread (the difference between bid and ask) and any commissions charged by your broker.
Yes. The calculator includes gold (XAU/USD), silver (XAG/USD) and major indices. Each instrument uses its own contract size from our trading platform, shown in its specification.
Enter your stop loss level as the exit price to see your maximum potential loss. This helps you determine whether the position size is appropriate for your account before placing the trade.
