Pip stands for "percentage in point". It is a unit of change in exchange rates. The pip is the fourth digit after the point in the exchange rate and it is equal to 0,0001.

In this example with GBP / USD currency exchange rates, the "pip" appears to be "11".

In transactions involving the Japanese yen, the "pip" is equal to 0.01, as JPY quotes have just two decimal positions rather than the usual four.

In this example with the USD and JPY, the "pip" is "05".