Forex trading

Discussion in 'Forex' started by NJTrader, Jul 14, 2002.

  1. NJTrader

    NJTrader

    Does anyone here trade forex. It seems to be pretty hard to make money if you have a spread of 4 or 5 pips. This spread seems to be the norm for the online forex trading sites. Does anyone know the pip spread that the banks get?
    Thanks
    NJ Trader
     
  2. pip rates

    www.gaincapital.com

    has slightly delayed dealing quotes at their home page

    for example

    USD / EUR is 4 pips wide now ... at least they do not charge
    any commissions ... so that has to be factored into the P+L
    equation
     
  3. alain

    alain

    in the online forex you don't pay commission you pay the spread. So a 4 Point sread in a currency where one Point represents for example $10 you pay $40 to get in and $40 to get out.
     
  4. wild

    wild

  5. my hunch is that some of the online forex operations are bucket shops. Only a hunch. I agree with the above post. Why not futures?
     
  6. wild

    wild

  7. can be thinner than the spot market

    and you have to take into account commissions

    that being said ... I have done both spot and futures

    USD / EUR ... but only dipped my toes into the waters of
    currency trading ... still concentrating my attention and
    accounts on equities and mini stock indices
     
  8. stick with a liquid contract. Never had a problem with liquidity in the DM, SF, Yen...Doubt you'll have a problem with the EC.

    These contracts have been around for decades (excepting the ec). This java-retail-forex is new. But hey, it may be great. I said it's just a hunch.
     
  9. alain

    alain

    can you recommend a forex broker?
     
  10. the management of GAIN Capital

    at an investment Expo in NYC

    they seem to be honest chaps

    good website ...

    have not traded with them , but they would be

    my first choice if I were to start trading Spot FX again

    good luck
     
    #10     Jul 15, 2002