Which Forex Brokerage Firm?

What is the typical commission charged by these direct access brokers? Wanted to work out how much of a difference there is between commission charging and spread charging brokers.

 

HOw much commission does IB charge on forex transactions?

 

http://individuals.interactivebrokers.com/en/accounts/fees/commission.php?ib_entity=llc


$2/100,000 USD per side.

Ex: trade GBP/USD 100k lot (assumption GBP=2.01) so value of trade is $201,000 * (2/100000) = $4.02 per side or $8 rt.

Full breakdown of commish can be found at link above

 

correction

isn't it 2.50?

 

Its 0.2 pips per transaction, that doesnt always equate to $2 for 100.000 units, i.e. USD/JPY will be differnet.

But its a really cheap commission anyways.

In comparison, MB charges $5 per 100k *USD* traded. For example GBP/USD is at 2.0150, you pay for 100k units $10.08. Thats more than a pip per side, or 4 times what you would pay at IB (IB has a $2.5 minimum commission per transaction). Its even 5 times cheaper if you overcome the min. commissions.

 

Last I looked GBPUSD spread on IB was 2 pips

So if commission is $8 both sides as above.

Then 1x $100,000 USD contract will cost $28.00

Let compare

www.dukascopy.com is 1 to 2 pip spread with $20 USD commission.

From what I can find GBPUSD trading costs are basically a standard $30 USD. ( Spread and commissions), and if your lucky on a 1 pip spread then cost would be $20.00 USD.

 

It's $2 per $100k of trade value.

When you trade a 100k USD/JPY lot, you are trading $100,000 worth of JPY. The referenced base currency is the first one.

Now, on my referenced GBP/USD trade, a 100k lot is 100,000 GBP (at exchange rate of, say, $2.01, the trade costs $201,000. Again, the first currency in the pair is the referenced currency.

The 0.00002 rate applies to the dollar amt of the trade.

And it's a mistake to label the commish a fixed percentage of a pip as pip value varies on different pairs.

 

On minimum commission charged. If you are trading anything greater than 100k lots, your calculated ciommish will be greater than that, so minimum would not qualify.

 

i didnt know that

 

Hello Dukascopy have 20 $ commission per one million!! And even depending on volume, I see that you can have 10 $