Currency prices are subject to small fluctuations, which are measured in PIPS or percentage in point. PIPS represent the fourth decimal point of a price, typically equivalent to .0001. This may seem insignificant, but in the world of finance, even the slightest change can have a significant impact. To truly understand the intricacies of currency trading, it is important to grasp the concept of PIPS and their role in determining currency prices.