In the financial markets, pip (percentage in point) commonly refers to the smallest unit of change in a currency pair's exchange rate. Most major currency pairs are priced with four or five decimal digits, and a pip is the fourth decimal one, while the fifth digit equals tenth of a pip. For Dollar currencies, pips equal 1/100th of a cent.
What is a Pip?
Modified on: Sun, 1 Mar, 2020 at 1:31 PM