I recently started with a broker I didn't hear about before Yadix because I read somewhere about their tight spreads. I started on the Scalper account with a small deposit and recorded spreads for March2014, I found on average throughout the month, the spread averaged at 0.31 pips or EUR/USD Have to say I am surprised as I wasn't expecting that tight spread.
How to determine our broker offer tightest spread? I think you must trade with over +20 to know a tightest spread broker. I Just trade with several brokers and HotForex and FxPro offer acceptable spread than others. E/U ~ 1-1.5 pips (premium/standard account). I hear that some brokers offer 0.1 spread but I have never seen and I Think that should be vip account and go along with commission.
MBT recently offered Ctrader which trades straight thru. Rather unusual since it bypasses their EXN. They might be offering low minimum deposits until they cannibalize thier EXN. You might want to investigate further.
How a Forex broker executes your trades is more important than the size of the spread, trust me on this one...
yeah i think you are right!! execution is way more important than spreads!! it would be awesome if the broker had both! good spreads and a decent execution
Glad there are traders with the same mindset as me. Too many traders put emphasie on spreads. Yes, low spreads are good. But it's not good for the brokers because it means less commissions for them. So a better way to choose a broker is their execution. What good are low spreads if u can't place your order at the price that you want right?
xelite777, you're right, some people seem t be focused on only one thing when it comes to chose a broker...but, it all must be balanced and make sense. If the spread is low and the broker offers trading bonuses, how do they make money? From clients losses of course, and some brokers can make sure clients lose with as you say how do they execute. When chosing a broker, the person must first understand his strategy and requirements and then make his investigation and tests. I spent many months reading, checking and chatting brokers, before I found Yadix that is great match for my scalping EA