Forex terms: What is a pip?

A pip is a tiny amount that a currency changes by.  It is usually about one hundredth of a percent of the value of the currency.  If you think carefully about this, that will usually mean around 0.001 of a cent per time.  Even if the currency pair changes by 100 pips, it will only be about a cent of a change.  This is why you need to be able to make large investments at a time when you make your trades in order to see any kind of a return.