What is TradingFinder's Profit/Loss Calculator?
TradingFinder's Profit Calculator enables precise calculation of profit or loss in 2 directions [Buy, Sell] before entering a trade in the global Forex market.
This way, traders can plan their trades and, if needed, modify their order size to increase profits or reduce losses.
What Is the Purpose of the Forex Profit/Loss Calculator?
The primary use of TradingFinder’s profit calculator is to calculate potential profits and losses, but it also offers additional functionalities, including:
- Quick and accurate calculation of potential profit or loss from a trade;
- Assessing the effectiveness and profitability of different scenarios before entering a live trade;
- Preventing common calculation errors in manual trading.
Guide to Using the Forex Profit/Loss Calculator Tool
Follow these steps to utilize the Forex calculator tool:
- Select the currency pair for your trading position;
- Choose your account base currency from among 20+ listed options;
- Enter the trade volume in lots. To calculate the amount of money you can use the TradingFinder Position size calculator tool;
- Specify the "Opening Price" (price at trade entry) and "Closing Price" (price at position exit);
- Select the trade direction (buy or sell);
- Click on the "Calculate" button to display the final profit/loss amount.
The "Reset" option clears all calculator fields.
How the Profit Calculator Works
This service calculates the result for users through the following formula:
Profit = (Closing Price - Opening Price) × Trade Size × Pip Value
The pip value is calculated as follows:
Pip Value = (Pip Size)/(Currency Pair Value) × Lot Size
Example of Using the TradingFinder Profit/Loss Calculator
Suppose you want to open a trade with the following parameters and calculate the exact profit. The parameters are:
- Trading pair: EUR/USD
- Trade volume (lots): 1 lot
- Opening price:13
- Closing price:15
- Account base currency: Euro
Based on these parameters, the following result is obtained:
Key Points for Using the TradingFinder Profit and Loss Calculator
By following the tips below, you can calculate your profit and loss with the highest possible accuracy:
- Enter input parameters such as trade volume (lot size), opening and closing prices, and trading pair with precision;
- The calculation result is directly affected by the selected direction (Buy/Sell);
- In volatile and unstable markets, make sure to fill in the data using the most up-to-date prices.
Why Should We Use This Tool?
TradingFinder's Profit Calculator helps increase speed in the trade planning by predicting potential profit or loss from trades.
This service can also be used for setting TPs/SLs (Take Profit/Stop Loss) in positions. Additionally, Forex traders can use this tool to calculate the risk-reward ratio for a trade.