How do you calculate profit on a forex trade?
Three steps take a closed trade to money:
- Gross in the quote currency = units x (close price - open price) for a long, or units x (open price - close price) for a short. The quote currency is the second one in the pair.
- Convert that amount into your account currency, if the two differ.
- Net = converted gross - commission + swap, where a swap charge is negative and a credit positive.
With the default inputs, one standard lot is 100,000 euros. Bought at 1.08500 and sold at 1.09200, it gains 0.00700 dollars on each euro, so 100,000 x 0.007 = $700 gross, which is already in dollars for a dollar account. Commission of $7 and a swap charge of $3 leave $690. The move is 70 pips, and on this size each pip is worth $10, so the $10 of costs needs the first pip of any gain just to stand still.
The profit comes from units and the price move alone. Leverage, the margin used and the account balance do not enter the sum.
Forex profit by lot size: standard, mini and micro
Profit scales in a straight line with size. The table takes the default move, 70 pips on EUR/USD in a dollar account, before costs:
| Size | Units of EUR | Value of 1 pip | 70 pips gained | 70 pips lost |
|---|---|---|---|---|
| 1 standard lot | 100,000 | $10.00 | +$700.00 | -$700.00 |
| 1 mini lot | 10,000 | $1.00 | +$70.00 | -$70.00 |
| 1 micro lot | 1,000 | $0.10 | +$7.00 | -$7.00 |
For an odd size, enter lots with decimals, 0.37 for example, or change Size in to units. A short of one micro lot over the same prices loses $7.00, because the price rose against it. The pip value calculator gives the value of one pip for every pair and size before you trade; this page works backwards from a trade that is already closed.
How is forex profit converted into my account currency?
The gross result always starts in the quote currency. What happens next depends on where your account currency sits in the pair:
- Your account is the quote currency. No conversion. EUR/USD in a dollar account, or GBP/JPY in a yen account.
- Your account is the base currency. The pair's own price is the rate, so the calculator divides by the close price you entered. A dollar account that sells 0.5 lots of USD/JPY at 150.200 and buys back at 149.500 makes 70 pips, or 35,000 yen, which at 149.500 is $234.11.
- Your account is neither currency. The page asks for one rate, entered as 1 account currency = how many units of the quote currency. A pound account on EUR/USD at 1 GBP = 1.27 USD turns $700 into £551.18.
The rate that matters is the one when the trade closes, since that is when the result is booked. A platform may convert at a slightly different rate or add a conversion charge, so the statement can differ by a few cents.
Until you pick a pair yourself, choosing an account currency switches the pair to one that contains it, where the list has one, and fills in example prices for you to replace, so the first result needs no rate. A currency with no pair in the list, such as the dirham, starts on EUR/USD and asks for the rate.
How do you count pips gained or lost?
Pips = (close price - open price) / pip size, with the sign reversed for a short. The pip size is 0.0001 on most pairs and 0.01 on pairs quoted in yen. From 1.08500 to 1.09200 is 0.00700 / 0.0001 = 70 pips; on GBP/JPY from 190.250 to 191.100 is 0.850 / 0.01 = 85 pips.
A short gains pips when the price falls. Sold at 150.200 and bought back at 149.500, USD/JPY has fallen 0.700, which is 70 pips in the short's favor. Many platforms quote one more decimal than the pip, a fractional pip, so a fill at 1.08505 against an open at 1.08500 is half a pip, not five.
Pips are useful for comparing trades on different pairs and sizes, but a pip is not a fixed amount of money. Seventy pips were $700 on a standard lot of EUR/USD and $234.11 on half a lot of USD/JPY.
What swap and commission take from a forex profit
Two costs sit between the price move and what lands in the account:
- Commission is charged by some accounts for opening and closing, as a fixed amount per lot. An account without commission can carry its cost in a wider spread instead, which is already inside the fill prices you type.
- Swap, also called rollover, is the overnight financing a platform charges or pays on a position held past its daily cut-off. The platform sets the rate, and it can be a charge or a credit. Type the total from your statement.
The result card shows the pips needed to cover commission and swap: (commission - swap) / value of one pip. On the default trade that is ($7 + $3) / $10 = 1.00 pip. For a pound account on the same trade it is £10 / £7.87 = 1.27 pips. The breakdown chart shows each cost against the gross result, and the line chart shows the trade at 25, 50 and 100 pips either side of the open: +$990 at 100 pips in your favor and -$1,010 at 100 pips against.
Forex profit examples in pounds, euros and dirhams
| Account | Trade | Gross | Costs | Net |
|---|---|---|---|---|
| Pounds | Long 1 lot EUR/USD, 1.08500 to 1.09200, 1 GBP = 1.27 USD | £551.18 | £7 commission, £3 swap | +£541.18 |
| Euros | Long 2 mini lots EUR/GBP, 0.8560 to 0.8525 | -€82.11 | €1.40 commission, €0.60 swap | -€84.11 |
| Dirhams | Long 1 lot EUR/USD, 1.08500 to 1.09200, 1 AED = 0.2723 USD | AED 2,570.69 | AED 25 commission, AED 11 swap | +AED 2,534.69 |
The euro trade lost 35 pips, which is 70 pounds in the quote currency. A euro account is the pair's base currency, so the loss is converted at the close price: 70 / 0.8525 = €82.11. In the dirham example the dollars are divided by 0.2723 because one dirham buys 0.2723 dollars; typing the rate the other way up, about 3.67, would shrink the answer more than thirteenfold.
A yen account trading GBP/JPY needs no conversion at all: 25,000 units long from 190.250 to 191.100 make 85 pips and 21,250 yen, and a 150 yen swap charge leaves 21,100 yen.
Does leverage change forex profit? The US deposit rule
No. For a given size and price move the profit is the same at any leverage. Leverage decides how much margin the position ties up, and so how large a position a balance can open, but the sum on this page never uses it. That is also why a result measured against the margin can look very large.
In the US, the Commodity Futures Trading Commission's regulation 17 CFR 5.9 (read 13 November 2026) sets the minimum security deposit for retail forex at 2% of the notional value for major currency pairs and 5% for all other pairs, with the 2% rate only when both sides are major currencies as designated by the registered futures association. One lot of EUR/USD at 1.08500 is worth $108,500, so a 2% deposit is $2,170 and a 5% deposit $5,425. The default $690 profit is 31.80% of the first and 12.72% of the second, while the trade itself is the same.
Retail leverage limits elsewhere depend on the region and the instrument. The forex margin calculator gives the margin at your own ratio, and the leverage calculator the share of equity a move takes.
How to calculate forex profit in Excel or Google Sheets
Put the units in B2, the open price in C2, the close price in D2, 1 for a long or -1 for a short in E2, the pip size in F2 (0.0001, or 0.01 for yen pairs), commission in G2 and swap in H2 with a charge as a negative number.
- Pips: =(D2-C2)*E2/F2, which returns 70 for the defaults.
- Gross in the quote currency: =B2*(D2-C2)*E2, which returns 700.
- Net, account in the quote currency: =B2*(D2-C2)*E2-G2+H2, which returns 690.
- Net, account in the base currency: =B2*(D2-C2)*E2/D2-G2+H2.
- Net, account in a third currency: =B2*(D2-C2)*E2/J2-G2+H2, with 1 account currency = J2 quote currency.
For lots, put =K2*100000 in B2 with the lots in K2. A trading journal can carry the same columns for every trade, so the total profit for a month is a simple sum of the net column.
What this calculator leaves out, and common mistakes
It values one closed trade at the prices and costs you type. It does not track a rate that moved while the trade was open, partial closes at different prices, a platform's own conversion charge, slippage beyond the fills you enter, or tax, which depends on where you live and how the account is set up.
- Counting the extra decimal as a pip. 1.08500 to 1.08550 is 5 pips, not 50.
- Typing the rate upside down. It is 1 account currency in quote currency.
- Forgetting the sign on a short. A short gains when the close is below the open.
- Ignoring swap on trades held for days. It adds up night by night.
- Treating pips as money. The same pips are worth different amounts on different pairs and sizes.
Glossary
Base currency: the first currency in a pair, which a lot is counted in. Quote currency: the second, in which the price and the gross result are stated. Pip: 0.0001 on most pairs, 0.01 on yen pairs. Standard, mini and micro lot: 100,000, 10,000 and 1,000 units of the base currency. Long: bought first, gains if the price rises. Short: sold first, gains if it falls. Swap or rollover: overnight financing charged or paid on an open position. Commission: a fee per trade, separate from the spread. Net profit: the result after commission and swap.
Frequently asked questions
How do I calculate profit on a forex trade?
Multiply the units by the change in price, open to close, for a long, or close to open for a short. That gives the result in the quote currency; convert it to your account currency and subtract commission and any swap charge. One lot of EUR/USD from 1.08500 to 1.09200 makes $700 gross and $690 after $10 of costs.
How much is 100 pips worth?
On a pair quoted in US dollars, 100 pips are worth $1,000 on a standard lot, $100 on a mini lot and $10 on a micro lot, before costs. On other pairs, convert from the quote currency first.
How do I convert forex profit into pounds?
If the pair is quoted in pounds, such as EUR/GBP, the result is already in pounds. Otherwise divide the quote-currency result by the rate 1 GBP = x quote currency. $700 at 1 GBP = 1.27 USD is 551.18 pounds.
How is profit calculated on a forex short?
Units times (open price - close price), so the trade gains when the price falls. Half a lot of USD/JPY sold at 150.200 and bought back at 149.500 makes 35,000 yen, which a dollar account books as $234.11 at the close price.
Why does my account need the close price to convert profit?
When your account currency is the pair's first currency, the pair's price is the exchange rate between the two. The calculator divides the quote-currency result by the close price, so no separate rate is needed.
Does leverage increase forex profit?
Not for the same size and the same move. Leverage only reduces the margin a position needs, which lets a balance open larger positions. The profit on one lot is the same at 30:1 or 50:1.
What is swap in forex, and how does it affect profit?
Swap is the overnight financing charged or paid on a position held past the platform's daily cut-off. It can be a charge or a credit, so type it with its sign from your statement. A $3 charge turns $693 into $690 on the default trade after commission.
How many pips do I need to cover commission and swap?
Divide the costs by the value of one pip on your size. $7 of commission and a $3 swap charge on a standard lot of EUR/USD, at $10 a pip, need 1 pip. The calculator shows this for every trade.
Why is my platform's profit slightly different?
Platforms convert at their own rate at the moment of closing and may add a conversion charge, and fills can differ from the prices you remember. Enter the exact fills and the rate shown on the statement to match it.
Can I use this forex profit calculator for a euro or dirham account?
Yes. Choose from 24 account currencies. If your account currency is in the pair, the calculator converts at the close price or not at all; otherwise it asks for one exchange rate and never fills one in.
Courses behind forex profit and loss
Forex Trading Beginners Online Course
Beginner forex course covering how the forex market operates, currency pairs, pips, spreads, leverage, brokers, platforms, and risk management.
See what the course coversAdvance Forex Trading Online Course
Complete forex pathway covering price movement analysis, high-probability setups, risk management, trading psychology, and rule-based system development for serious learners.
See what the course coversStock Trading Rules and Strategies
Practical program explaining why trading rules matter and how traders apply predefined strategies for day trading and short-term market analysis.
See what the course coversSources and review
Last reviewed 14 November 2026 by the NIFM Academy editorial team. Next review by 14 May 2027.
- US Commodity Futures Trading Commission, 17 CFR 5.9 Security deposits for retail forex transactions (e-CFR text, Cornell Legal Information Institute), minimum security deposit of 2% of notional value for major currency pairs and 5% for all other pairs; the major rate applies only when both sides are major currencies, designated by the registered futures association. Checked 13 November 2026.
- Forex profit arithmetic, pips = (close - open) x direction / pip size; gross = units x (close - open) x direction in the quote currency; converted at the close price when the account is the base currency or at the rate 1 account currency = x quote currency otherwise; net = gross - commission + swap; shown in the working under every result. Checked 13 November 2026.
- Forex contract conventions, standard lot of 100,000 base-currency units, mini 10,000, micro 1,000; pip of 0.0001, or 0.01 for yen-quoted pairs. Checked 13 November 2026.