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Forex Trading How is the price of one point calculated?
avatar Mymelody
Question by: Samanthar - 25 Mar 2016, 09:00:57
How is the price of one point calculated?
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Answers (1)
avatar user 8923
Answer by: Joseph - 25 Mar 2016, 09:08:53

For the currency pairs, where USD stands second (EURUSD), the price of one point is calculated the following way: 1 point=order volume*min change of the exchange rate(0.0001). For the currency pairs, where USD stands first (USDCHF), the price of one point is calculated the following way: 1 point=order volume*min change of the exchange rate(0.0001)/current quotation of the currency pair. For the cross currency pairs (GBPCAD), the price of one point is calculated the following way: 1 point=order volume*min change of the exchange rate(0.0001)*quotation of the base currency against USD/quotation at the moment of the position opening.

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