The dollar amount gained or lost per pip of price movement, determined by the currency pair and lot size.
Pip values are constant for USD-denominated pairs (like EUR/USD, GBP/USD) at $10 per pip per standard lot. For cross pairs and pairs where USD is the base currency, pip values fluctuate with exchange rates. For gold (XAU/USD), the pip value is approximately $1 per 0.01 lots. Accurate pip value knowledge is the foundation of proper position sizing.