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General => General Trading Discussion => Topic started by: pipsbuster on October 03, 2014, 01:31:41 PM

Title: Spread is king?
Post by: pipsbuster on October 03, 2014, 01:31:41 PM
It has always been so with me that the lower the account spread, the more profits from trading. What sense does it then make to go for higher-spread accounts?
Title: Re: Spread is king?
Post by: drunkfx on October 27, 2014, 05:55:19 AM
Trading costs always pull your trading back, hampering profit earning process, making changes in probabilities against you. Under no event high spreads may be something to benefit from, of course, if you are not the broker. Particularly undesirable and even dangerous spreads can be for scalpers, which assume risk frequently, exposing deposit for numerous spread charges.
According to my personal scalping experience, hunting for low gains, for example 20-30$ from a trade, when average spread for EUR/USD is 0.5-0.6 pip (Hotforex Premium account ) allow me to stay in profit. With that number of profitable orders, even in the case of minor spread increasion, my trading would go into a trouble, because 60% of my profit would be grasped by spreads..
Title: Re: Spread is king?
Post by: jemook on October 27, 2014, 06:08:31 AM
Total trading cost is very important: ie spread + swap + commission + deposit cost + withdrawal costs.

Spread is only a part of the equation but can be one of the biggest costs to trade.

Depth is also important if you are trading bigger lots as a broker offering .1 EURUSD spreads could just be showing that for 50k depth and you could get slipped to .4 spreads if trying to hit higher than 50k position size.

I personally think it's better to pay commission than have it built into spread as a higher spread means your SL will get hit quicker.

Cheers
Jem

Title: Re: Spread is king?
Post by: Bryon Caldwell on November 11, 2014, 07:43:58 AM
Yeah, Spread is King but Few broker charges a lot. I know so many Good brokers that charges 3 pips Spread for regular currencies. On the other hand, few brokers also have only .5 or 1 pip spread commission
Title: Re: Spread is king?
Post by: alixfx on November 12, 2014, 02:55:47 AM
I am originally  an equities and derivatives trader and my portfolio used to include small caps and covered warrants, so as you can guess some of the spreads on these products were huge.. but this never significantly ate into my profits, so I never felt that 'spread was king', but rather my understanding of pricing and market liquidity.

However I am now a few years in to trading forex daily, and although I still trade trends in one of my accounts I run a simultaneous scalping strategy where I aim to make the real money. So in that case I agree and for a forex scalper, Spread is certainly King..
Title: Re: Spread is king?
Post by: hashim on November 14, 2014, 01:33:03 PM
spread are king of all scalpers, and day traders but they sometime doesnt bother and never have a proper understandinghow spread affect our trading result. for example i had monthly total order at average 150 transaction on EURUSD, at first i use non ecn broker service, 2 pips spread on eurusd which means, 150 x 2 pips, 300 pips monthly cost in total, but now my result getting better as I moved into armada market, an ECN brokerage service with 0.3 spread charged on eurusd, spread cost are 0.7 pips x 150 trades equal to 105 pips monthly cost. have anyone ever consider how spread cost your trade. and yess indeed ecn brokers help me alot, now i have additional 195 pips profit, consider spread as a king, serve his right majesty, and he will taking care our account performance. so, when spread are the King, who's the Queen then ?? anyone ?
Title: Re: Spread is king?
Post by: SpreadGuy on November 16, 2014, 01:35:40 PM
Well the king is your skills to identify a trend. Your position can easily cover even 100-200$ spread if you guess the direction of trend correctly :)
Title: Re: Spread is king?
Post by: hashim on January 06, 2015, 05:32:59 PM
Well the king is your skills to identify a trend. Your position can easily cover even 100-200$ spread if you guess the direction of trend correctly :)

hmm nice thought, but i think i wouldnt take those gigantic spread for my trade. well, fx trading is a business to begin with. a 100-200$ fee per transaction, are bad for any business. unless your plan are just to put 1-2 entry trade in a year, and then quit trading.
consider i put 10 entry a months, for whole year i put and entry 120 trades in total. said i inherent the 'king' skill to identify the trend for consecuentive 100 trades and the rest 20 are end up losing one.
so how much it does cost then ? 120 trades x 200$ spread = $ 24.000 transaction cost!!! for years. in my country for those amount I can barely purchase a brand new car. and i dont think anyone here would be crazy enough to begin a business with a fixed 24k transaction cost. i bet you wont :D
Title: Re: Spread is king?
Post by: indicator on January 19, 2015, 04:46:55 AM
It has always been so with me that the lower the account spread, the more profits from trading. What sense does it then make to go for higher-spread accounts?

Its a simple math, 1 pip difference of spread costs you 100 pips after your 100 trades on a particular pair. So spread does matter to a trader.
Title: Re: Spread is king?
Post by: 999cjb on January 19, 2015, 11:17:55 AM
It has always been so with me that the lower the account spread, the more profits from trading. What sense does it then make to go for higher-spread accounts?

Its a simple math, 1 pip difference of spread costs you 100 pips after your 100 trades on a particular pair. So spread does matter to a trader.

There are other considerations. If that 1 pip lower spread is accompanied by a commission on opening each trade and another commission on closing each trade, as practised by FXCM and others, you may be better off going for the higher spread.
Title: Re: Spread is king?
Post by: drunkfx on January 20, 2015, 08:28:56 AM
Absolutely agree. Comissions should be carefully calculated, based upon broker statements about transaction costs. I do prefer to trade without commissions but exclusively on highly volatile market as broker markups can't be compared in size with spread widening occurring there/ Commission based account is for high-frequent traders (scalpers) as row spreads is something they're looking for. There are 3 option on Hotforex of how to optimize your transaction costs - fixed spread, spread account and commission one with raw spreads. My choice is upon second one..
Title: Re: Spread is king?
Post by: Efx123 on January 20, 2015, 08:19:10 PM
Most people would lose money even with 0 spreads and 0 commissions. But banks will always make money.
Title: Re: Spread is king?
Post by: PsychoPipKiller on January 23, 2015, 03:40:50 AM
In my view, spreads / commissions are only important when scalping - depending on the pair. Long term trades its a non-issue really.
Title: Re: Spread is king?
Post by: hybrid on June 07, 2015, 04:38:19 PM
While trading with any pair we first of all see its spread . low spread brings profit soon as market moves up or down. With high spread we have to wait for much time for pips making.
Title: Re: Spread is king?
Post by: resistance on June 09, 2015, 04:20:10 PM
It's good to trade with pair with low spread in trading because it will be easier to earn profit with low spread pair, especially for scalpers, It is lower risk too when you used low spreads pair although it doesn't mean that higher spreads will be lower profitable than lower spreads. It's back to trader's capability to find out good timing to entry and exit point. If you can trade well with GOLD, then it is possible to gain good amount of profit although GOLD's spread is high enough.
Title: Re: Spread is king?
Post by: hybrid on June 20, 2015, 07:03:25 AM
Low spread pairs are important for beginners . That is why mostly traders like major currency pairs that having low spread as 2 or 3 . As spread goes higher our risk is more because we gain profit after crossing that limit of spread . Gold has higher spread so try it after much experience of trading.
Title: Re: Spread is king?
Post by: Forexrider on June 25, 2015, 04:16:24 AM
Spread plays vital role in different types of trader while it may matter for scalpers a lot, it may not even seem to make much difference for long term traders.
Title: Re: Spread is king?
Post by: resistance on July 03, 2015, 06:30:31 AM
Quote from: hybrid link=msg=341374 date=1434780205

Low spread pairs are important for beginners . That is why mostly traders like major currency pairs that having low spread as 2 or 3 . As spread goes higher our risk is more because we gain profit after crossing that limit of spread . Gold has higher spread so try it after much experience of trading.


Yes, you're right. Mostly beginner traders will use pair with low spreads because it's easier to reach on profit than higher spreads pair but it's not only depending on its spreads, the movement of price in the pair has high effect too. Some pairs are low in spreads but low in movement so it will be harder to reach on target. If you're good in analysis, spreads won't be problem anymore except if you're scalpers. Scalping is better with low spreads pair.
Title: Re: Spread is king?
Post by: diamond on July 04, 2015, 06:17:25 PM
You are right about large spread pairs as it is irritating sometimes when our orders are not filled and TP is not hit just because spread was not filled. Anyways, I am currently happy because Mayzus is giving 40% of the spread back by its Rebate offer.
Title: Re: Spread is king?
Post by: hybrid on July 05, 2015, 02:51:28 AM
Spread is very good opportunity for traders, they can make money with low spread with slide movement in market . Low spread is easy to handle as major currency pairs having low spread and traders like to trade in them .
Title: Re: Spread is king?
Post by: Forexrider on July 10, 2015, 07:48:06 AM
Quote from: hybrid link=msg=342766 date=1436061088

Spread is very good opportunity for traders, they can make money with low spread with slide movement in market . Low spread is easy to handle as major currency pairs having low spread and traders like to trade in them .


Lower spreads are a scalpers favorite and this certainly helps one to benefit from the quick profits. Thus, spread has its own significant pros and cons in the trading aspect and the profit or loss making.
Title: Re: Spread is king?
Post by: fxman on July 10, 2015, 03:49:18 PM
For long term trading spread is not that big issue. For scalping and  hedging obviously spread is very important . Whatever low spread is always welcome.
Title: Re: Spread is king?
Post by: Rahim Miya on October 21, 2015, 01:40:05 PM
Honestly, I donít like to trade with high trading spread because itís kill my trading interest. By the way, I am able to trade with narrowest trading spread facility of TradingBanks broker. So, in my daily trading I get my daily target within very short movement of market. I know, for scalper itís very useful service.
Title: Re: Spread is king?
Post by: resistance on October 22, 2015, 06:29:45 AM
Quote from: fxman link=msg=343090 date=1436539758

For long term trading spread is not that big issue. For scalping and  hedging obviously spread is very important . Whatever low spread is always welcome.


I am agree with you. Spread is important for short-term traders who hold movement at most a day but it doesn't give too much impact when you're long-term traders because your target will be high number of pips and you can gain profit as long as you used high spreads when you can make right analysis to the market's movement for long-term. And also, low spreads will be useless too if the movement of price is not too high. It's hard to gain profit when the spreads is low (example : 1 pip) but the price is moving up and down 2-3 pips for long time.
Title: Re: Spread is king?
Post by: bruce_knee on October 23, 2015, 09:14:14 PM
Yeah spread is the reason why gambling is less of a risk than forex if you trade like that of course. You need to choose carefully a broker but spread is not the most important thing to look for - honest broker is
Title: Re: Spread is king?
Post by: Rocky Ward on October 29, 2015, 09:29:40 AM
In this market place scalping is measured as a most usable and profitable trading policy for all kinds of traders in particularly the newcomers. In my trading career, due to small balance, I am extremely dependable on this trading policy for making profit instantly. and, for using this trading strategy in a proper way, I have chosen MXTrade trading broker due to only one pip narrowest trading spread.   
Title: Re: Spread is king?
Post by: Forex Verified on October 29, 2015, 03:37:49 PM
Quote from: bruce_knee link=msg=348478 date=1445631254

Yeah spread is the reason why gambling is less of a risk than forex if you trade like that of course. You need to choose carefully a broker but spread is not the most important thing to look for - honest broker is


True, especially if you're not a scalper then spread makes little difference.
Title: Re: Spread is king?
Post by: erik.shaban on October 30, 2015, 02:48:54 AM
You're right that it doesn't make sense to aim for higher spread accounts.  Building a strategy to find out how to profit can be done in many ways that don't involve spreads though.  The spread can increase your profit by small amounts, but won't make or break a trader.  Lack of a strategy or knowledge will break a trader. 
Title: Re: Spread is king?
Post by: resistance on November 02, 2015, 03:38:34 AM
Quote from: Forex Verified link=msg=348752 date=1446133069

Quote from: bruce_knee link=msg=348478 date=1445631254

Yeah spread is the reason why gambling is less of a risk than forex if you trade like that of course. You need to choose carefully a broker but spread is not the most important thing to look for - honest broker is


True, especially if you're not a scalper then spread makes little difference.


I don't think if it is good idea to use spreads in trading as gambling although it will be lower risk to use lower spreads in gambling with forex. Some people said that scalpers are gamblers but I don't think so because there are some people who can be good scalpers. They didn't gamble but they made good timing for entry and exit point with good money management.
Title: Re: Spread is king?
Post by: hybrid on November 03, 2015, 08:19:55 AM
we choose any pair on base of spread if we are managed trader. As a beginner I will like to choose low spread in trading .Spread is main thing that determines when your profit will starts when market will move.  After crossing spread we get pips of profit . If spread is high we have to wait for more movement of market to our side
Title: Re: Spread is king?
Post by: Markus on November 04, 2015, 06:02:22 PM
liteforex broker have good  trading conditions and small spread size
Title: Re: Spread is king?
Post by: indicator on December 23, 2015, 05:41:43 AM
Number of pips in a spread plays a vital role in your earning from forex. Even with one pip difference in spread you can save one pip every time you place a trade. So select a broker with less spread.
Title: Re: Spread is king?
Post by: Forex Verified on December 23, 2015, 03:25:07 PM
Quote from: resistance link=msg=348877 date=1446435514

Quote from: Forex Verified link=msg=348752 date=1446133069

Quote from: bruce_knee link=msg=348478 date=1445631254

Yeah spread is the reason why gambling is less of a risk than forex if you trade like that of course. You need to choose carefully a broker but spread is not the most important thing to look for - honest broker is


True, especially if you're not a scalper then spread makes little difference.


I don't think if it is good idea to use spreads in trading as gambling although it will be lower risk to use lower spreads in gambling with forex. Some people said that scalpers are gamblers but I don't think so because there are some people who can be good scalpers. They didn't gamble but they made good timing for entry and exit point with good money management.


Scalping as a strategy is not gambling.
There are other trading strategies that are little affected by spread. If, let say, you trade on daily charts and go for couple hundred pips or more, 1-2 pips spread won't make a difference.
Title: Re: Spread is king?
Post by: Profitable Trading on December 24, 2015, 06:46:10 PM
Personally I prefer ECN brokers for low spreads. Better pay executions commisions and low spread, rather trade with Market maker 2+ pips spreadon EUR/USD.
Title: Re: Spread is king?
Post by: bruce_knee on January 21, 2016, 01:23:57 PM
Spread should definitely be considered in your money management because it cuts your chances of success to 49/51 so go for brokers who offer the lowest spread but I prefer not the fixed ones but floating ones
Title: Re: Spread is king?
Post by: drunkfx on January 21, 2016, 06:54:58 PM
Quote from: bruce_knee link=msg=351556 date=1453382637

Spread should definitely be considered in your money management because it cuts your chances of success to 49/51 so go for brokers who offer the lowest spread but I prefer not the fixed ones but floating ones


Fixed spread is welcomed during time of high volatility or news trading when spread widening occurs quite often and can easily exceed the fix spread set by your broker (in my case Hotforex spread for EUR/USD pair is 1.8 pip, some brokers offer this size even in floating spread).  I use Fixed spread account to handle trades during NFP, Retail Sales, EIA reports and similar news releases, with decent platform speed you can make a good part of earnings from there.
Title: Re: Spread is king?
Post by: iMusingKiMi on January 22, 2016, 04:39:50 AM
Quote from: bruce_knee link=msg=351556 date=1453382637

Spread should definitely be considered in your money management because it cuts your chances of success to 49/51 so go for brokers who offer the lowest spread but I prefer not the fixed ones but floating ones


Yeah, of course we have to include spreads or commissions in our money management. It is a basic operating cost just as those traditional business.
Title: Re: Spread is king?
Post by: bruce_knee on January 22, 2016, 01:50:03 PM
Quote from: drunkfx link=msg=351567 date=1453402498

Quote from: bruce_knee link=msg=351556 date=1453382637

Spread should definitely be considered in your money management because it cuts your chances of success to 49/51 so go for brokers who offer the lowest spread but I prefer not the fixed ones but floating ones


Fixed spread is welcomed during time of high volatility or news trading when spread widening occurs quite often and can easily exceed the fix spread set by your broker (in my case Hotforex spread for EUR/USD pair is 1.8 pip, some brokers offer this size even in floating spread).  I use Fixed spread account to handle trades during NFP, Retail Sales, EIA reports and similar news releases, with decent platform speed you can make a good part of earnings from there.


It's just from my experience with a broker who offers fixed spreads, they were higher for some pairs than you could expect, for example EURUSD was fixed with 2pips spread and with another broker with floating spreads it was always between 0.8-1.2pips even at times of high volatility like NFP. The spread doesn't normally go above 1.8pips :) So at the end of the day it was cheaper for me to choose a broker with floating spreads
Title: Re: Spread is king?
Post by: bruce_knee on January 22, 2016, 01:56:45 PM
Quote from: iMusingKiMi link=msg=351575 date=1453437590

Quote from: bruce_knee link=msg=351556 date=1453382637

Spread should definitely be considered in your money management because it cuts your chances of success to 49/51 so go for brokers who offer the lowest spread but I prefer not the fixed ones but floating ones


Yeah, of course we have to include spreads or commissions in our money management. It is a basic operating cost just as those traditional business.


Yes exactly, scalpers should also consider them for short trades, for example if your target profit is 20 pips, you should add the spread to that and make it 20+spread from the price of entry to the price of exit :)
Title: Re: Spread is king?
Post by: drunkfx on February 01, 2016, 02:19:12 PM
Quote from: bruce_knee link=msg=351593 date=1453470603

Quote from: drunkfx link=msg=351567 date=1453402498

Quote from: bruce_knee link=msg=351556 date=1453382637

Spread should definitely be considered in your money management because it cuts your chances of success to 49/51 so go for brokers who offer the lowest spread but I prefer not the fixed ones but floating ones


Fixed spread is welcomed during time of high volatility or news trading when spread widening occurs quite often and can easily exceed the fix spread set by your broker (in my case Hotforex spread for EUR/USD pair is 1.8 pip, some brokers offer this size even in floating spread).  I use Fixed spread account to handle trades during NFP, Retail Sales, EIA reports and similar news releases, with decent platform speed you can make a good part of earnings from there.


It's just from my experience with a broker who offers fixed spreads, they were higher for some pairs than you could expect, for example EURUSD was fixed with 2pips spread and with another broker with floating spreads it was always between 0.8-1.2pips even at times of high volatility like NFP. The spread doesn't normally go above 1.8pips :) So at the end of the day it was cheaper for me to choose a broker with floating spreads


Normal spreads during NFP? Sound very unusual really.
Title: Re: Spread is king?
Post by: brave on February 03, 2016, 05:42:55 PM
In this regard, I would like to say that speared is the backbone of forex trading as brokers earn with spread, so we should not worried about spread but we should choose that brokers who are giving the low spread facility in order to earn maximum from forex trading, keep in mind that trading costs always pull your trading back, so always choose that broker who are providing low spread.
Title: Re: Spread is king?
Post by: JulioPipo on February 03, 2016, 08:22:34 PM
I would add that you actually have to choose a broker that provides consistently low spreads with minimum slippage. Some brokers advertise in Myfxbook spread section that they have the lowest spreads but when you actually start trading you find very bad spreads.
Title: Re: Spread is king?
Post by: bruce_knee on February 08, 2016, 12:26:06 PM
Quote from: drunkfx link=msg=351956 date=1454336352

Quote from: bruce_knee link=msg=351593 date=1453470603

Quote from: drunkfx link=msg=351567 date=1453402498

Quote from: bruce_knee link=msg=351556 date=1453382637

Spread should definitely be considered in your money management because it cuts your chances of success to 49/51 so go for brokers who offer the lowest spread but I prefer not the fixed ones but floating ones


Fixed spread is welcomed during time of high volatility or news trading when spread widening occurs quite often and can easily exceed the fix spread set by your broker (in my case Hotforex spread for EUR/USD pair is 1.8 pip, some brokers offer this size even in floating spread).  I use Fixed spread account to handle trades during NFP, Retail Sales, EIA reports and similar news releases, with decent platform speed you can make a good part of earnings from there.


It's just from my experience with a broker who offers fixed spreads, they were higher for some pairs than you could expect, for example EURUSD was fixed with 2pips spread and with another broker with floating spreads it was always between 0.8-1.2pips even at times of high volatility like NFP. The spread doesn't normally go above 1.8pips :) So at the end of the day it was cheaper for me to choose a broker with floating spreads


Normal spreads during NFP? Sound very unusual really.


Yes they are normal maybe around 2pips for most pairs
Title: Re: Spread is king?
Post by: Huang jing on February 09, 2016, 07:33:32 AM
Spread is important, but maybe not king. I think trading strategy and mind are more important, actually now many broker provide smilar spreads, so we should take more time on learning.
Title: Re: Spread is king?
Post by: Rocky Ward on February 10, 2016, 04:16:13 AM
In spite of good trading knowledge thatís not possible at all to make profit constancy devoid of lowest trading spread. Thatís why, I have decided to trade MXTrade trading broker in my trading career due to only one pip lowest trading spreads which is very supportive to make profit with certainly by using any kind of trading strategies. 
Title: Re: Spread is king?
Post by: brave on April 16, 2016, 09:00:44 PM
YES, I totally believe that spread is the king in forex and play major part towards success, all the newbies should be careful in order to join the broker, only those brokers should choose who are giving minimum spread in order to earn the maximum from forex.
Title: Re: Spread is king?
Post by: hybrid on September 21, 2016, 07:34:53 AM
The first thing we see in any pair before trading that is spread . Low spread attracts trader they are happy that they will less in loss as they will open any position because our profit start after crossing the limit of spread if market goes to our side.
Title: Re: Spread is king?
Post by: Daniel Worrall on March 09, 2017, 03:01:03 PM
We traders consider spreads as a king of trading , because in spite of good trading knowledge thatís not possible at all to lead a comfortable trading life without having comfortable trading spreads , for that reason spreads is mainly considered as an important financial tool which an investor should consider when choosing a broker.
Title: Re: Spread is king?
Post by: Paul.Trafford on March 10, 2017, 09:57:00 AM
Spread is important no doubt! I actually know that most scalpers prefer to have the commission included in the spread, because it is quite possible when the scalper close the deal on profit, no to be programmed to consider the commission, thus you can have a small profit from the deal itself, but when you applied the paid commissions to be a losing trade, thus if the commission is included in the spread, once the scalper close the deal on profit you are 100% sure that you win ( because you already know you paid the commission, included in the spread )
Title: Re: Spread is king?
Post by: Antje Wagner on March 10, 2017, 10:25:02 AM
Quote from: drunkfx link=msg=351567 date=1453402498
Quote from: bruce_knee link=msg=351556 date=1453382637
Spread should definitely be considered in your money management because it cuts your chances of success to 49/51 so go for brokers who offer the lowest spread but I prefer not the fixed ones but floating ones

Fixed spread is welcomed during time of high volatility or news trading when spread widening occurs quite often and can easily exceed the fix spread set by your broker (in my case Hotforex spread for EUR/USD pair is 1.8 pip, some brokers offer this size even in floating spread).  I use Fixed spread account to handle trades during NFP, Retail Sales, EIA reports and similar news releases, with decent platform speed you can make a good part of earnings from there.

It's just from my experience with a broker who offers fixed spreads, they were higher for some pairs than you could expect, for example EURUSD was fixed with 2pips spread and with another broker with floating spreads it was always between 0.8-1.2pips even at times of high volatility like NFP. The spread doesn't normally go above 1.8pips :) So at the end of the day it was cheaper for me to choose a broker with floating spreads

depends on the time you trade as well. if you trade the asian market time, fix spread on 2 pip or something might be a much better choice because with floating you cannot guarantee the Spreads stay below 2 pips.
However, fix spreads on a currency market is not very real. money is always exchanged, market is floating, prices are moving, Spreads are floating...
Title: Re: Spread is king?
Post by: Antje Wagner on March 10, 2017, 10:26:48 AM
Some brokers advertise in Myfxbook spread section that they have the lowest spreads but when you actually start trading you find very bad spreads.

depends... our published Spreads are those that are real. myfxbook is connected to our servers. but maybe other brokers have some special deal with mark down of Spreads.
Title: Re: Spread is king?
Post by: Graeme Hick on March 13, 2017, 06:37:52 PM
Yes it is. Because in spite of good trading knowledge that is not possible to male profit with certainly by using any kinds of trading strategies without comfortable trading spreads, as the trading spreads is able to affect the result of our trading with certainly.  So, obviously spreads is considered as a king in this trading place. 
Title: Re: Spread is king?
Post by: Confrontation Girl on March 14, 2017, 05:13:01 AM
I dont think that spread is king for me, because if i have learn well and done my analysis correct no matter what spreads are with my pair, i am going to earn profit. Spreads can only improve your profits not your analysis.
Title: Re: Spread is king?
Post by: Paul.Trafford on March 14, 2017, 08:14:50 AM
no matter what spreads are with my pair, i am going to earn profit.

I believe you mean with a relatively normal spread I am going to earn profits, because if your spread is 100 pips Ö good luck making profits with well-done analysis Ö
Title: Re: Spread is king?
Post by: drunkfx on March 14, 2017, 05:21:49 PM
Hey Guys I wanted to know your opinion: is 0.1-0.2 pip spread + 8$ commission can be considered cheap cost for scalping. Hotforex offers that on their zero spread account but I'm looking for something more cheaper..
Title: Re: Spread is king?
Post by: Paul.Trafford on March 15, 2017, 10:04:41 AM
Hey Guys I wanted to know your opinion: is 0.1-0.2 pip spread + 8$ commission can be considered cheap cost for scalping. Hotforex offers that on their zero spread account but I'm looking for something more cheaper..

Drunkfx Ė to me spread of 0.1-0.2 pips is looking great. However 8$ commissions ( I assume it is for 1 lot both opening and closing , so 4$ commissions per side ? ) is a little bit high. I am sure you can do some research , look for spread 0.1-0.2 pips and commission of 6 Ė 7 $ , because every cent matters especially if you are scalping. I know if you do some research you will find a cheaper broker than Hotforex , that I can guarantee !
Title: Re: Spread is king?
Post by: reinerh on March 15, 2017, 10:13:29 AM
you guys are so hung up on spreads,

execution is utmost important. if they dial in the plug in you are screwed.

also watch tp sl values, if they are over riding them.

spreads isnt everything. a decent honest fair broker is whats much more important.
Title: Re: Spread is king?
Post by: Antje Wagner on March 15, 2017, 11:35:49 AM
Hey Guys I wanted to know your opinion: is 0.1-0.2 pip spread + 8$ commission can be considered cheap cost for scalping. Hotforex offers that on their zero spread account but I'm looking for something more cheaper..

as Paul said, it is ok, but there are better ones. ours is raw spread (0,1 pip approx) + 7 usd. and there are for sure even lower ones. just double check with others.
Title: Re: Spread is king?
Post by: indicator on April 10, 2017, 08:39:50 AM
The first thing we see before open any position is spread , new traders specially select low spread pairs. They do not want to give big spread to broker. I also prefer low spread and major pairs so that I can work with moving market.
Title: Re: Spread is king?
Post by: drunkfx on April 10, 2017, 08:35:37 PM
Hey Guys I wanted to know your opinion: is 0.1-0.2 pip spread + 8$ commission can be considered cheap cost for scalping. Hotforex offers that on their zero spread account but I'm looking for something more cheaper..

Drunkfx Ė to me spread of 0.1-0.2 pips is looking great. However 8$ commissions ( I assume it is for 1 lot both opening and closing , so 4$ commissions per side ? ) is a little bit high. I am sure you can do some research , look for spread 0.1-0.2 pips and commission of 6 Ė 7 $ , because every cent matters especially if you are scalping. I know if you do some research you will find a cheaper broker than Hotforex , that I can guarantee !

Well you can find brokers with lower commissions but it's important to have stable spreads, without frequent widening. So you can win on commissions and lose on spreads.
Title: Re: Spread is king?
Post by: Antje Wagner on April 12, 2017, 10:56:20 AM
The first thing we see before open any position is spread , new traders specially select low spread pairs. They do not want to give big spread to broker. I also prefer low spread and major pairs so that I can work with moving market.

tight is ok, as long as it is still beneficial for broker and client. but many clients request rediculous - almost brazen - spreads. in the same sentence they request the highest leverage. That's where i take a direct talk to the client about the business.
Title: Re: Spread is king?
Post by: SusanBrown on April 20, 2017, 10:46:13 PM
Lower spread helps if you are a scalper and EA trader otherwise, general spreads from brokers are okay if you are a swing trader. I think 1-3 pips are tolerable but more than that is not acceptable.
I used to trade in a daily timeframe but due to present market uncertainty ahead of French Election and Trumpís surprises I am scalping under an FCA regulated account on a ECN Broker (Tickmill).
If your broker offers IB make sure your account is not under any IB holders. Brokers most often add .5 pip extra spread with IB holding accounts.
Title: Re: Spread is king?
Post by: Jason Stepen on April 21, 2017, 12:06:48 AM
Yes , spreads is King in forex trading , because the trading spreads can affect the result of our trading with certainly , and this is an important financial tool to choose a broker.   
Title: Re: Spread is king?
Post by: Antje Wagner on April 21, 2017, 08:57:37 AM
Well, I think it depends on the services that is offered by an IB. If trading lessons are offered for example, then it is no shame to add a bit on the Spread, provided the lessons are either for free then or can be obtained on a discount basis.
Furthermore it is somehow difficult to Brokers to pay a reasonable amount of rebates to the IB when not marking up. In my experience, IBs rather think of themselves than thinking of the client. They want to get as high rebate as possible. This is hardly possible without marking up. Then they ask to mark up the spread with rediculous amounts of pips where we as Broker say "sorry but you cannot sell this to clients!!".
I think a good basis must be given between IB function and client treatment! Furthermore the IB must explain the client why the Spread could be higher, there must be a real reason for it, otherwise it is just hustle.

@ Jason, I absolutely agree but nowadays clients seem to be bit greedy (sorry for the word) to get the lowest Spread. Guys, be aware that Brokers have costs to pay on their own. One is the Spread that they are having as well with their LPs. others are company own costs, bridge, safekeeing of accounts, etc etc.
If a client wants to have a spread - as best - of 0 pip or let's say 0.3 and NO commissions, please ask yourself how he can pay the own debts, how he can do that at all... provided you are dealing with a european broker without dealing desk, without cheating on clients.
If you find a broker, who confirms you to get discount spread, no commissions and maybe also a bonus, you should be warned and when on top you can use a HIGH leverage, you should run for your live, because that's a scam broker for sure then ;)

In any case I think a common basis should be given between broker costs and client needs! Both parties should understand the other side.


Cheers,
Antje
Title: Re: Spread is king?
Post by: SusanBrown on April 22, 2017, 10:12:57 PM
Lower spread helps if you are a scalper and EA trader otherwise, general spreads from brokers are okay if you are a swing trader. I think 1-3 pips are tolerable but more than that is not acceptable.
I used to trade in a daily timeframe but due to present market uncertainty ahead of French Election and Trumpís surprises I am scalping under an FCA regulated account on a ECN Broker (Tickmill).
If your broker offers IB make sure your account is not under any IB holders. Brokers most often add .5 pip extra spread with IB holding accounts.

This is bad information. Making the statement "make sure your account is not under any IB holders" is pure ignorance. Many traders benefit from discounted commission rates and rebates with absolutely no  difference in trading conditions.
Im my experience, the number of brokers that mark up spreads to compensate for rebates paid to clients is very low. We have a strict policy of not dealing with brokers that engage in this practice.

I am telling you from my experience.  LP charge at least .2 pips ( e.g. eurusd) and broker has other expenses. IB commissions are high, sometimes $8-$20 for each lot!

How a broker can give such money to an IB holder? Broker donít give it from their own pocket which Iím sure. You can visit FXCC (I moved from them to Tickmill) and ask them how they increase .5 pips with their ECN account when you assign it under an IB. I can give you more example.

IB holders donít care about traders but their own interest.
Title: Re: Spread is king?
Post by: SusanBrown on April 23, 2017, 05:45:51 PM
Lower spread helps if you are a scalper and EA trader otherwise, general spreads from brokers are okay if you are a swing trader. I think 1-3 pips are tolerable but more than that is not acceptable.
I used to trade in a daily timeframe but due to present market uncertainty ahead of French Election and Trumpís surprises I am scalping under an FCA regulated account on a ECN Broker (Tickmill).
If your broker offers IB make sure your account is not under any IB holders. Brokers most often add .5 pip extra spread with IB holding accounts.



This is bad information. Making the statement "make sure your account is not under any IB holders" is pure ignorance. Many traders benefit from discounted commission rates and rebates with absolutely no  difference in trading conditions.
Im my experience, the number of brokers that mark up spreads to compensate for rebates paid to clients is very low. We have a strict policy of not dealing with brokers that engage in this practice.

I am telling you from my experience.  LP charge at least .2 pips ( e.g. eurusd) and broker has other expenses. IB commissions are high, sometimes $8-$20 for each lot!

How a broker can give such money to an IB holder? Broker donít give it from their own pocket which Iím sure. You can visit FXCC (I moved from them to Tickmill) and ask them how they increase .5 pips with their ECN account when you assign it under an IB. I can give you more example.

IB holders donít care about traders but their own interest.

So your experience with one (bucket shop) broker sums up the whole IB industry?
You embarrass yourself with your ignorance. I have built a business as an IB and my clients come first always. You state that "IB holders don't care about traders but their own interest." There are members of this forum that I have helped with no self-interest whatsoever, as well as many other traders.

Why not get your facts correct before posting ill-informed garbage on the forum?


I never mention that you donít care your account holders. I meant to say it is very rare. I have not seen much IB holder like you in my 10 years of trading experience.
Can you name few brokers that has less spread and well IB commission? Broker must be FCA regulated. Then compare with all others who add extra spread. It would clear your unilateral view.
Title: Re: Spread is king?
Post by: SusanBrown on April 24, 2017, 09:30:38 PM
@jonpearce

You are talking about examples not the whole industry. Only very few brokers offer such discount and mostly covered from their marketing cost. And Their commissions are very low. IB holders always try to push the traders who offer them better spread commission, where their business interest stands. You know that very well.

Visit https://donnaforex.com/index.php?board=113.0 pick 50 brokers and let me know your thought.

My interest is for traders not for the IB holders. Most new traders donít understand the fact and they pay extra pip! It is okay if anyone do that by knowing it, they might have some mutual understanding.

I am not against IB, Iím telling the new traders to think if itís worth having wider spread.
We are talking about lower spread in this thread.
Title: Re: Spread is king?
Post by: SusanBrown on April 25, 2017, 10:43:58 PM
@jonpearce

You are talking about examples not the whole industry. Only very few brokers offer such discount and mostly covered from their marketing cost. And Their commissions are very low. IB holders always try to push the traders who offer them better spread commission, where their business interest stands. You know that very well.

Visit https://donnaforex.com/index.php?board=113.0 pick 50 brokers and let me know your thought.

My interest is for traders not for the IB holders. Most new traders donít understand the fact and they pay extra pip! It is okay if anyone do that by knowing it, they might have some mutual understanding.

I am not against IB, Iím telling the new traders to think if itís worth having wider spread.
We are talking about lower spread in this thread.

I really don't know what your agenda is but your statements are trash.

You stated that brokers inflated their spreads for clients joining and trading under an IB and I discounted that statement.

You stated that all IB's only have their own self-interest in mind. I discounted that statement.

You asked for FCA regulated brokers that met your criteria and I provided two.

All the brokers here https://donnaforex.com/index.php?board=113.0 offer discounts or rebates or they would not be in the 'Broker Rebate and Discount' section obviously. You do realise I put together that section I hope?

Please be aware that Donna receives commissions from accounts opened via those forum IB deals to help cover the costs of running this forum. I see your comments here as a conflict of interest with that endeavour.

Are you deliberately trying to undermine the running of this forum by trying to discourage forum members from using this free service offered by Donna and myself?

What is your agenda? You have a link to a broker service in your signature - https://www.bestforexbrokers.com/

Can you explain your association with this business? You have grilled me so lets see how you respond when the tables are turned.

I looked at this website in your signature. It states that the 'Best Forex Brokers - April 2017' are XM, Plus500, IronFX, Hotforex and Xtrade............surely you cannot be serious?

Why would you recommend these brokers to traders? There are a number of bucket shop brokers listed here and you recommend them to traders? IronFX?
Do you have IB deals with these brokers? What do you get from this website offering very poor information and recommendations to potential clients?

You say your interest is for traders yet you would direct them to some of the brokers recommended on your website? How do you sleep at night?
It seems your business ethics are as flawed as the ill-informed, ignorant comments you post in this thread.


P.S.  @SusanBrown.........See your No 2 broker recommendation for April 2017 has just settled with Belgium regulators  http://www.financemagnates.com/forex/brokers/breaking-plus500-settles-belgium-regulator-e550k/?utm_source=Breaking_News&utm_medium=email&utm_campaign=25.4.2017

Do you have any other 'Top broker' recommendations for us?


Jesus man, you make things complicated and putting them to miss direction.

We are developing bestforexbrokers.com with hole new look and the site is running from older database. Month name get auto generated by script which follow traderís vote. We personally do not recommend any broker (that is our primary goal). We let the traders to compare them by themselves and choose which support their interest.
I am telling new traders to ignore the IB holders if they are the reason for wider spread. I always suggested that. If broker donít do such practice, then IB is not a problem.

I have 42 IB accounts and more than 500 traders. I provide them Free Trade setups every day if they get under my IB. And I tell them to change the broker if they add extra spread. They are always aware of it.

So, you know the difference between you and me. I tell traders and stands with them. So you see now I donít spend sleepless like you do. Even, I sleep more than 9 hours a day.

And now come to another point, if you get commission from Broker and not from spread then why are you shouting like this? You should be fine as traders are not getting wider spread.

Where exactly DonnaForex says they will delete an account unless the person signup with their chosen broker that has 10 pips wider spread so that they can get 9 pips commission from it? Donnaforex let traders choose which best for them. Never force them.

Awake up man. You are talking against everything this forum stands for!
Title: Re: Spread is king?
Post by: donnaforex on April 26, 2017, 08:10:44 AM


Where exactly DonnaForex says they will delete an account unless the person signup with their chosen broker that has 10 pips wider spread so that they can get 9 pips commission from it? Donnaforex let traders choose which best for them. Never force them.

Awake up man. You are talking against everything this forum stands for!


If you are claiming that any of our cashback offers include such a deal then i need to know about it, please show me which ones are doing this - we need to flag it up and tell people of this on any of the specific broker topics concerned, since there's no point paying an extra 1 pip commission to simply get a 0.5 pip rebate. I've always been adamant that we DON'T advertise any such deals.
Title: Re: Spread is king?
Post by: SusanBrown on April 26, 2017, 05:08:32 PM


Where exactly DonnaForex says they will delete an account unless the person signup with their chosen broker that has 10 pips wider spread so that they can get 9 pips commission from it? Donnaforex let traders choose which best for them. Never force them.

Awake up man. You are talking against everything this forum stands for!


If you are claiming that any of our cashback offers include such a deal then i need to know about it, please show me which ones are doing this - we need to flag it up and tell people of this on any of the specific broker topics concerned, since there's no point paying an extra 1 pip commission to simply get a 0.5 pip rebate. I've always been adamant that we DON'T advertise any such deals.

Thank you Donna , It was just a figure of speech for jonpearce as he/she was defending IB blindly even if that goes against a trader.   

I look into the brokers and will let you know if I get any suspicious wider spread brokers (due to IB). Hats off to you, No one better stands for the traders but you.

Thanks
Title: Re: Spread is king?
Post by: drunkfx on April 27, 2017, 09:35:29 PM
What are legit and valid spreads comparisons between brokers? Myfxbook seems to display only price feed spreads (indicative), not execution spreads, so basically its useless for serious traders.
Is there only an option to rely on traders testimonials?
Title: Re: Spread is king?
Post by: SusanBrown on May 01, 2017, 08:25:56 PM


Where exactly DonnaForex says they will delete an account unless the person signup with their chosen broker that has 10 pips wider spread so that they can get 9 pips commission from it? Donnaforex let traders choose which best for them. Never force them.

Awake up man. You are talking against everything this forum stands for!


If you are claiming that any of our cashback offers include such a deal then i need to know about it, please show me which ones are doing this - we need to flag it up and tell people of this on any of the specific broker topics concerned, since there's no point paying an extra 1 pip commission to simply get a 0.5 pip rebate. I've always been adamant that we DON'T advertise any such deals.

Thank you Donna , It was just a figure of speech for jonpearce as he/she was defending IB blindly even if that goes against a trader.   

I look into the brokers and will let you know if I get any suspicious wider spread brokers (due to IB). Hats off to you, No one better stands for the traders but you.

Thanks

You get pulled up and then lie to cover yourself?

Here is a quote from my reply to your paranoia of brokers increasing spreads - "Im my experience, the number of brokers that mark up spreads to compensate for rebates paid to clients is very low. We have a strict policy of not dealing with brokers that engage in this practice."

I stated that we have a strict policy of not dealing with brokers that engage in this practice. This is "defending IB's blindly"?

You are mental buddy. I was talking about the brokers who add extra pip for IB in the first place and you are talking nonsense and defending your IB since the begging. You serve only yourself not the traders. I am going to ignore your nonsense replies.
Title: Re: Spread is king?
Post by: ianj on May 01, 2017, 09:53:08 PM
No broker has the best spreads. If you are able to monitor multiple brokers feeds/spreads you will often see that they specialise. ie they concentrate their narrowest spreads across a small group of pairs, letting others slip wider

You also see skewing where a spread is tight yet the price is skewed up or down depending on the view on the LP and/or broker. The "best" price is often not from the tightest spread. Ideally you would aggregate but this is complex as you carry positions split across brokers which involves costs in terms of complexity, risk, rollover costs/swap etc

A simpler way is to maintain a small group of brokers, each specialising in its own set of pairs - then running relevant strategies for each broker according to its specialisation

Take a look at this and tell me its simple - and this is just cable
Its quiet at the moment so its fairly uniform - look at 3pm GMT and its just a tad crazier

I could show you another pair and it might be a different picture
Title: Re: Spread is king?
Post by: Corey Anderson on May 02, 2017, 05:37:33 PM
Here is my main trading weapon is trading strategy! Then my second strength is my healthy trading equity! And of course, I like to trade with a friendly trading environment so, I count all of my trading facilities and features! Big trading spread kills my profit, so naturally I like to use those brokers who are active on low trading spread service!
Title: Re: Spread is king?
Post by: StrukerBob on May 02, 2017, 10:57:42 PM
Does anyone know of a Forex Broker with servers in London that gives good spreads on an ECN/STP Account?
Title: Re: Spread is king?
Post by: ianj on May 03, 2017, 12:57:29 AM
LMAX

Any Spotware broker
Title: Re: Spread is king?
Post by: HFT Group on May 04, 2017, 07:38:46 AM


Where exactly DonnaForex says they will delete an account unless the person signup with their chosen broker that has 10 pips wider spread so that they can get 9 pips commission from it? Donnaforex let traders choose which best for them. Never force them.

Awake up man. You are talking against everything this forum stands for!


If you are claiming that any of our cashback offers include such a deal then i need to know about it, please show me which ones are doing this - we need to flag it up and tell people of this on any of the specific broker topics concerned, since there's no point paying an extra 1 pip commission to simply get a 0.5 pip rebate. I've always been adamant that we DON'T advertise any such deals.

Thank you Donna , It was just a figure of speech for jonpearce as he/she was defending IB blindly even if that goes against a trader.   

I look into the brokers and will let you know if I get any suspicious wider spread brokers (due to IB). Hats off to you, No one better stands for the traders but you.

Thanks

You get pulled up and then lie to cover yourself?

Here is a quote from my reply to your paranoia of brokers increasing spreads - "Im my experience, the number of brokers that mark up spreads to compensate for rebates paid to clients is very low. We have a strict policy of not dealing with brokers that engage in this practice."

I stated that we have a strict policy of not dealing with brokers that engage in this practice. This is "defending IB's blindly"?

You are mental buddy. I was talking about the brokers who add extra pip for IB in the first place and you are talking nonsense and defending your IB since the begging. You serve only yourself not the traders. I am going to ignore your nonsense replies.

(https://donnaforex.com/proxy.php?request=http%3A%2F%2Fi.imgur.com%2F41trHPc.jpg&hash=2a23da5c5f098dad271048215c0feace)
Title: Re: Spread is king?
Post by: HFT Group on May 04, 2017, 07:40:04 AM
Does anyone know of a Forex Broker with servers in London that gives good spreads on an ECN/STP Account?

VARIANSE     https://donnaforex.com/index.php?topic=19466.0
Title: Re: Spread is king?
Post by: Antje Wagner on May 05, 2017, 09:31:47 AM
Does anyone know of a Forex Broker with servers in London that gives good spreads on an ECN/STP Account?

Yes ;) several... but feel free to send me a PM.
Title: Re: Spread is king?
Post by: semaj on May 05, 2017, 11:52:18 AM
Which reputable brokers offer lowest spread on GBPNZD? Please advise.
Title: Re: Spread is king?
Post by: HFT Group on May 05, 2017, 03:08:45 PM
Does anyone know of a Forex Broker with servers in London that gives good spreads on an ECN/STP Account?

Yes ;) several... but feel free to send me a PM.

Can you please list them for the benefit of other members?
Title: Re: Spread is king?
Post by: Antje Wagner on May 08, 2017, 10:02:05 AM
Does anyone know of a Forex Broker with servers in London that gives good spreads on an ECN/STP Account?

Yes ;) several... but feel free to send me a PM.

Can you please list them for the benefit of other members?


fxpro
varianse
gain
saxo
GBE brokers

are a few of them.
Title: Re: Spread is king?
Post by: HFT Group on May 08, 2017, 10:58:57 AM
Does anyone know of a Forex Broker with servers in London that gives good spreads on an ECN/STP Account?

Yes ;) several... but feel free to send me a PM.

Can you please list them for the benefit of other members?


fxpro
varianse
gain
saxo
GBE brokers

are a few of them.

Thank you :)

A few of these brokers are available via the forum broker offers :

FxPro - https://donnaforex.com/index.php?topic=19399.0

Varianse - https://donnaforex.com/index.php?topic=19466.0

Other broker options also available that meet your criteria :

LMAX Exchange - https://donnaforex.com/index.php?topic=19467.0

Tickmill UK - https://donnaforex.com/index.php?topic=19373.0
Title: Re: Spread is king?
Post by: Luisa Arraes on August 04, 2017, 03:37:51 PM
Well, yes I also prefer low spread trading account! But, I donít think, here low spread facility is the key point of success! I believe, traders trading skill is the king! No one can success here without a pro trading skill.
Title: Re: Spread is king?
Post by: Super Andrew on August 07, 2017, 01:29:24 PM
I think execution is king and not spread. Take IC Markets as example. There spreads are vert competitive but the love to be 1-2 pips ahead of the price as soon movements speeds up.
Title: Re: Spread is king?
Post by: hybrid on August 09, 2017, 02:20:26 PM
Only spread is not count in trading. It is a helping to get profits but many other things are related to trading as right entry in market , knowing trend as well as control on emotions. spread or any pair is important in terms of taking risk this will determine your reward or loss.
Title: Re: Spread is king?
Post by: Jabbar Hossen on August 12, 2017, 12:15:33 PM
Only spread is not count in trading. It is a helping to get profits but many other things are related to trading as right entry in market , knowing trend as well as control on emotions. spread or any pair is important in terms of taking risk this will determine your reward or loss.
Thank you. nice message   
Title: Re: Spread is king?
Post by: Confrontation Girl on August 14, 2017, 04:19:12 AM
I do not think that only spread is everything in the market and we should only depend on it for profit. If you do not have a good strategy then what you are going to do with spreads.
Title: Re: Spread is king?
Post by: indicator on October 24, 2017, 05:10:27 AM
Spread is supportive in trading. People like low spread pairs for trading. They are right because they have not to pay high amount to brokers. Spread is like a loss it starts as we open any position. If we not get profit from this trade spread amount will deducted from your account. always choose such spread that you know how it will effect.
Title: Re: Spread is king?
Post by: drunkfx on January 22, 2020, 06:30:11 AM
Spread is supportive in trading. People like low spread pairs for trading. They are right because they have not to pay high amount to brokers. Spread is like a loss it starts as we open any position. If we not get profit from this trade spread amount will deducted from your account. always choose such spread that you know how it will effect.

Being a spread expert, do you know whether the spread charged twice at the opening of trading position or second spread is charged when you make reverse transaction (close the order)?
Title: Re: Spread is king?
Post by: Khan00 on March 18, 2020, 10:54:51 AM
In forex trading, the difference between Bid price and Ask price determines the size of spread. Being a trader, you need to bet whether the price of a currency
Title: Re: Spread is king?
Post by: Libson on April 16, 2020, 01:46:40 PM
Spreads are important factors while trading, so starting with lower pips is good. Find a broker that has tighter spreads.
Title: Re: Spread is king?
Post by: fxopen78 on April 17, 2020, 01:16:35 AM
Especially scalper, the low spread is more preferable because they have small pips target in daily trading, so low spread giving more advantage, but usually, each pair has own spread, so we also need to reading contract value and spread value through our broker site
Title: Re: Spread is king?
Post by: Eliza Abrams on April 17, 2020, 02:17:33 PM
If you are a scalper working with wide spreads is impossible.
Title: Re: Spread is king?
Post by: fxopen78 on June 08, 2020, 11:33:37 PM
The tight spread is more preferable for scalping, but for comfortable trading will more preferable to swing trading rather than scalping I think, scalping needs more focus on the chart, while swing trading not every time we should in front of the screen.
Title: Re: Spread is king?
Post by: drunkfx on June 09, 2020, 07:00:10 AM
Spread is a king especially for HFT trading, I run a bot with Hotforex which edge is extremely spread sensitive. Even one pip can make difference!
Title: Re: Spread is king?
Post by: fxopen78 on June 21, 2020, 10:51:49 PM
Different pairs also different spread sometimes, major pair usually has lower spread if compared with exotic pair and cross pair, the most pair that many traders like to trade is EURUSD, but there are some trader trying scalping on gold, although this is risky due spread higher than major pair.
Title: Re: Spread is king?
Post by: drunkfx on July 13, 2020, 07:34:01 AM
Spread is a king especially in HFT trading, I trade using scalping robot with Hotforex which edge is extremely spread sensitive. Even one pip can make difference, that's why it is platform sensitive too. I spent a lot of time picking right broker for it.
Title: Re: Spread is king?
Post by: HFT Group on July 13, 2020, 08:18:13 AM
Spread is a king especially in HFT trading, I trade using scalping robot with Hotforex which edge is extremely spread sensitive. Even one pip can make difference, that's why it is platform sensitive too. I spent a lot of time picking right broker for it.

What scalping EA do you use? Is it profitable for you? Have you tried it on brokers with tighter spreads than Hotforex?
Title: Re: Spread is king?
Post by: fxopen78 on July 15, 2020, 11:09:57 PM
Not all broker allow scalping trading, because it can be loaded heavy traffic in the trading server, in addition, scalping ea I think will work aggressively, if they over trading although spread cost is low, might not help much to develop a better trading system
Title: Re: Spread is king?
Post by: drunkfx on September 16, 2020, 05:07:14 AM
Spread is a king especially in HFT trading, I trade using scalping robot with Hotforex which edge is extremely spread sensitive. Even one pip can make difference, that's why it is platform sensitive too. I spent a lot of time picking right broker for it.

What scalping EA do you use? Is it profitable for you? Have you tried it on brokers with tighter spreads than Hotforex?

Yes I also tried it on Tickmill too, both Hotforex and Tickmill demonstrate great results. It is quite simple rule-based momentum EA with dynamic stop loss which is sensitive to trading conditions. Key idea was to determine statistically when momentum happens - should it be event-based (new info hits the market) or technical breakouts-based. I use a mix of them.
Title: Re: Spread is king?
Post by: reinerh on September 16, 2020, 06:52:33 PM
Spread is a king especially in HFT trading, I trade using scalping robot with Hotforex which edge is extremely spread sensitive. Even one pip can make difference, that's why it is platform sensitive too. I spent a lot of time picking right broker for it.

What scalping EA do you use? Is it profitable for you? Have you tried it on brokers with tighter spreads than Hotforex?

Yes I also tried it on Tickmill too, both Hotforex and Tickmill demonstrate great results. It is quite simple rule-based momentum EA with dynamic stop loss which is sensitive to trading conditions. Key idea was to determine statistically when momentum happens - should it be event-based (new info hits the market) or technical breakouts-based. I use a mix of them.

so which ea do you use to trade momentum ??