Hi I notice currency pairs margins are different when it is required to open a trade.
GBPUSD with a margin of 50:1 on my broker requires $29 just to trade on a 0.01 lot and others like AUDUSD are less $15 to trade a measly $0.01.
If I made 200(20) pips would I earn $2 on both exclude spread? If so, it would be better to trade the AUDUSD right?
lmk
If your account currency is USD, then one pip is worth $0.10 in any pair having the USD as the quote currency. That includes GBP/USD, AUD/USD, EUR/USD, and NZD/USD. (In all other USD-pairs, the USD is the base currency.)
So, 20 pips gained in GBP/USD is worth $2. And 20 pips gained in AUD/USD, or EUR/USD, or NZD/USD is also worth $2.
As for what you should trade –
You should trade the pair that offers you the best probability of a substantial price move, based on the criteria of your Trading Plan – regardless of the leverage or margin restrictions which apply to that pair.
You do have a Trading Plan, don’t you?