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A Forex Profit Calculator is useful to simulate how much money and pips a trading position represents, quantitatively, if the position is closed in profit or loss. It works by simulating a trading position opened and closed at specific values, and will display the results of the potential profit or loss in money and in pips.

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First, your lot size is 100,000 units times .1, or 10,000 units. The rise in pips was from 55 to 88, or 33 pips (remember that a pip is .0001). In this case, with this lot size, each pip is worth $1, so your gain is $33 ($88 minus $55, the change in value).

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Consequently, when the agreement specifies a monthly or daily compounding, the way people can calculate the effective interest rate involves dividing the APR rate with the number of times interest is applied per time period. For instance, if your bank gives you a 3% APR with monthly compounding, you can calculate the effective yearly interest

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