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How do I calculate the P/L (profit or loss) per trade?

How do I calculate the P/L (profit or loss) per trade?

Updated over 3 months ago

At FNmarkets, calculating the profit and loss (P/L) per trade involves a few simple steps. For traders looking to use a profit and loss calculator, here's an example using EUR/USD:

Determine the entry and exit prices:

Entry price: 1.1200
Exit price: 1.1250

Calculate the difference between the prices:

Difference = Exit price - Entry price
Difference = 1.1250 - 1.1200 = 0.0050
Determine the trade size:

Assume you traded 10,000 units (0.1 lot) of EUR/USD.

Calculate profit loss:

P/L = Difference in price × Trade size
P/L = 0.0050 × 10,000 = 50 USD

In this example, if you bought EUR/USD at 1.1200 and sold it at 1.1250 with a trade size of 10,000 units, your profit would be 50 USD.

For a quicker calculation, traders can also use FNmarkets' profit loss calculator to determine P/L efficiently for different trades and scenarios.

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