First of all, in standard lots (100,000 units of BASE currency), 1 pip might be worth $10 (not $1). Specifically, 1 pip will be worth $10 per standard lot, if and only if, BOTH the account currency AND the quote-currency in the pair being traded are USD. In similar fashion, 1 pip will be worth £10 per standard lot, if and only if, BOTH the account currency AND the quote-currency are GBP. This occurs only in the EUR/GBP pair. In every other GBP pair, the GBP is the BASE currency, not the quote-currency.

The consumer price index is an economic indicator which can be used by traders to see whether an economy is growing or not. Using this information, you can make a reasonable guess on what will happen to its curency.

Fiscal policy usually refers to money collected by a government like through taxes. Monetary policy refers to the decisions made by central banks regarding their currency.

A nation's economy that is progressing toward becoming advanced, as shown by some liquidity in local debt and equity markets and the existence of some form ofmarket exchange and regulatory body.

Retail sales are indicator of economic activity and the confidence of consumers. This can be used to estimate whether an economy is growing or not, which can be useful on the Forex.