CarlosMZ posted:
Like the others before me said -
Fixed spreads is a sign that that broker is a Market Maker.
Variable spreads = ECN or DMA/STP broker
I'd add just another note - most brokers offer Marked-up spreads (the commission is included in the spread) which makes the spread even bigger.
You should look for brokers that provide Core Spreads (= Market spread) and they will charge commission separately. Which is good because you can clearly see how much is the commission you pay for each trade.
You can read more about those here - https://www.jfdbrokers.com/en/core-vs-marked-up-spreads
Thank you for the link bro :) Very useful and well explained. Regards.
Sep 04 2018 at 11:21
Make sure broker is regulated by a decent authority. A regulated market maker is OK but the spreads will still be higher
Nov 11 2020 at 19:57
Spreads plays an important role in becoming successful in the forex market. If you have proper knowledge about spreads than you can make huge money from this market.
It is necessary to remember the fact that the lower the spread the broker offers, the better your trading will go and the less influence on it.
balticrain posted:Yes. Broker is the most important thing in the forex business.
Make sure broker is regulated by a decent authority. A regulated market maker is OK but the spreads will still be higher
Apr 15 2021 at 15:17
Spreads do play an important role in the success of trades, and My broker FP Markets does provide tighter spreads which is an advantage for me because I trade with EURUSD pair.
Apr 16 2021 at 09:27
spreads is an important financial tool which an investor should consider when choosing a broker, i always like to trade with low trading spreads which is very supportive to predict the market with certainly.
Apr 16 2021 at 09:33
low spread with commission with ECN broker is best. Much easier to understand feed and work out profits etc than an artificially high spread
For me, tight spreads are important because the lower the spreads, the better trading condition the broker will have, and I mostly trade using ECN brokers like FP Markets and CMC Markets because they have some of the lowest spreads.
You definitely need to look at how the spread will behave during trading, whether and whether it will be in the first place for you.
most of the time i like to avoid exotic pairs , because trading is expensive with these pair.
May 09 2021 at 13:17
Having low spreads is good. But spreads vary on market condition. Be mindful about that especially if you are a news trader.
May 27 2021 at 13:29
That is right and I prefer variable spreads as well. One can get pretty tight spreads when the market is highly active.
Jun 09 2021 at 08:00
Low spreads are best for all kinds of trading strategies.
I don’t know how whom, but in principle, I am satisfied with floating spreads, they are also very profitable to work with.
Aug 04 2021 at 13:36
As I understand it, spreads are very important only with large lots?
No job too big. No job too small.
Freddy4Taylor posted:Nothing like that, A tight market in forex is characterized by market liquidity or high trading volume in the market. Intense price competition on both the buyers' and sellers' sides leads to tight spreads.
As I understand it, spreads are very important only with large lots?
Aug 05 2021 at 13:51
Sarjohn posted:Freddy4Taylor posted:Nothing like that, A tight market in forex is characterized by market liquidity or high trading volume in the market. Intense price competition on both the buyers' and sellers' sides leads to tight spreads.
As I understand it, spreads are very important only with large lots?
Oh thank you
Perhaps I'll start to be more interested in this topic.
No job too big. No job too small.
Aug 19 2021 at 02:11
Every fixed spread broker I've ever looked at had spreads that seemed way to high, so I always favored floating spreads.
Aug 20 2021 at 17:20
Imamul posted:Yes. I always try to follow this formula.
most of the time i like to avoid exotic pairs , because trading is expensive with these pair.
