What is point value?

[Danielj]

Hello,

I am doing backtests on usd/jpy. And I am wondering how much "Point value" (I can set it in instrument manager) is worth?

In this case when the price od usd/jpy is:

83,24

The point value is:
a) 0,01?
b) 1,00

Thanks for answering
Daniel

[NinjaTrader_RyanM1]

Hello Daniel,

Point value is the dollar value of a 1 point move (1.00).

In futures this is standardized by the instrument you're trading.

In Forex it could vary based on your leveraging factor. .

[Danielj]

Hello, thanks for answering,

Can you also tell me what is quantity? In case of stock it is one share. But in case of Forex what is it? 1 lot?

I am asking cause my cumulated profit in the summary of strategy is very small - 0,08$. It is calculated on point value worth 1 000 (usd/jpy)

Greetings
Daniel

[NinjaTrader_Bertrand]

Daniel, in forex you deal with units - so for example a regular full lot worth 100K would use 100000 or 0.1M as qty, if you want to trade a minilot, this would then be 10000 or 0.01M.

[Danielj]

Thanks a lot. Now its clear for me.