I’m learning the ins and outs and wonder what are good spreads to enter trades on? And what are spreads you’d stay away from? I’m using a demo account to get my feet wet and I see that I currently only have 3 pairs under 2.0 pip spread offered by my broker. I’m only using the major and minor pairs.
2 pips on majors is little too big but market maker’s usually has that spread values, ecn , stp , dma has the spread+ additional fee but in results, trading cost is lower.
there is no thing like good spread to trade. good spreads are determined on your trading style. I my self care about fixed spread than low spread because not fixed spread can make you hit SL even when you analyze correct.
You choose the asset you want to work on based on the spread?
Or are you a spread trader?
Sorry for not making my question clear. It’s really meant to be: What are good spreads on currencies. I want to know if I’m getting good spreads from my broker.
I am right now seeing my broker quotes a 1.1 pip spread on EUR/USD. This is not bad, I could probably find a slightly lower spread somewhere.
It’s all well and good seeking out the narrowest quoted spread - but bear in mind that as London and New York close and open, and as announcements emerge and as unexpected events occur, spreads could be 5 or 10 or 20 times the broker’s advertised spreads.
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