Could some one save me the time of having to do the math and tell me if all currency pairs are valued at $10,000 USD or are some pairs as Eur/jpy €10,000 EUROS
Yes I have searched the forums and have seen a few threads, but the ones I have seen never use a $ sign or € sign. They all seem just to say 10,000 or 10K
I am sure it is USD, but I was using a pip value calculator from FXstreet and am getting different value than Oanda or here on C2.
Thanks for your time.
OMG ! Ha, I just remembered on my personal account, I am position both of my strategies that I post here on C2. Looking over everything the pip calculator I was using is correct. Yes, I am a genius* Disregard my original post.
Forex pairs are “valued” in the denominator currency. When you BUY EUR/USD, imagine you are buying a briefcase full of Euros. You are using USD to buy the briefcase. Now, when you sell that briefcase to the next person, that second person pays you in USD.
Things get a bit trickier (but only a bit) for those trades where the denominator of the pair is not USD. So, for example, when you buy EUR/JPY, you buy a briefcase filled with Euros, but you pay the briefcase salesman with Yen you have stuffed into your pocket.
When you walk onto the street and sell that briefcase to the next guy, he pays you in Yen, once again. So now you have a profit (hopefully), but your profit is denominated in Yen. Since your C2 Model Account is denominated in USD, C2 then converts that Yen-denominated P/L into USD.