What is the point in Forex? How does POINT count?

What is the point in Forex? How does POINT count?

The point is the amount of change in the price of the currency or the smallest change in the price of the currency which is either a profit or loss to you by the type of transaction and this is our lesson 25 in the course of Forex education for beginners on the site

In order to understand the lesson dear dear, you have to follow the course of the full session on our site and read this lesson because the lessons are all interrelated and intertwined must be read all

Consider the following example

If the price of the sterling pair is so

GBP / USD = 1.5265

And then the price of the pair after minutes like this

GBP / USD = 1.5285

The point here is the least change in the price of the currency

Which is 20 points as you notice the smallest change is 0.0001

It is considered one point

In the previous example the price rose 20 pips from 1.5265 to 1.5285

In this deal if you were expecting that and the deal entered into a purchase

I waited for the price rose 20 points and you are here winning this point

vice versa

If your expectation is to sell any price you expect it will land and the transaction is entered and the price has risen

So your loss is 20 points

It is very good to understand this difference because what is important in the Forex market is the number of pips, not how many dollars you earned or how many dollars you lost

The idea of ??a correct and accurate expectation of the number of points that the currency pair will move

But let's also clarify what your actual dollar profit is in this deal

To understand this, see the following lesson in the Forex Education Course