Frequently Asked Questions
What is the spread?
The spread is the difference between the bid and ask price of a currency pair. It is the effective cost a trader pays to execute a round-trip currency trade (plus any applicable commissions).
In this example, the USD/CAD bid price is 1.05998 and the ask price is 1.06029. The difference between them, the spread, is equal to 3.1 pips.
In order to profit from the trade, USD/CAD must move at least 3.1 pips in your favor before you close the position. Thus, the lower the average spreads, the better the trading conditions usually are for a trader.
Why is it so important?
Lower spreads result in lower trading costs, which leads to a more profitable trading environment. By tracking the average spread over time amongst multiple brokers, a trader can determine which broker is suitable to minimize costs and maximize profits.
Are the data feeds from live accounts or demo accounts?
It is our policy to display only live account feeds indicative of the actual trading conditions available to each broker's clients.
Can you add a specific broker or feature to the analyzer?
We are constantly forming new partnerships with forex brokers & portals. Please email us at info@fxintel.com with any broker or feature requests.