which forex company gives offers the tighted pip spreads

Discussion in 'Forex Brokers' started by tradingismylife, Mar 7, 2006.

  1. i want to open a forex account iv been trading the equity market for 4 years which firm gives the best spreads or does it depend on your volume and amount of capital you put up thanks
  2. 00009


    If 1:50 leverage is enough for you and you don't need hedging than oanda is all you need
  3. He asked about spreads, not leverage.

    Usually, an ECN type FX dealer is going to give you the tightest spreads, and charge a commish (that is how they get paid since they don't take the other side).

    IB usually has 1 pip EUR/USD, 1 to 2 pip USD/JPY for example. Commission is well less than a single pip unless you trade partial lots. At times, the spreads even get to half a pip.

  4. Agassi


    can some one explain ECN type fx dealer?? FXCM claims that they maintain a flat book meaning they don't trade fx to make money.

    Give me an example of an ecn type fx broker. would that be propfx platform?? but the minimum is 25k for that isn't it??
  5. so the spread is one or one and half pips plus commission which is less then 1 pip so you paying around 2 to 2 half pips in total whats the website thanks
  6. A true ecn type dealer has quotes from several sources and matches with the best available. Competition is high in forex nowdays, so if you have several sources you are obviously going to get better prices. Some of the fx brokers that trade as market makers (most of them in existence do this) are showing some pretty tight spreads now however.

    FXCM makes its money by acting as a market maker. They set their own spread. Any firm not charging a commish does this.

    I don't know about min for all "ECN" type firms, but would say 25k is definitely as small as they would let you trade. Some, if not most, have 100k minimums. That is still only 10 bucks per pip though (depending on the pair). Hell, an ES contract is 12.50 per tic, and people trade those with 3k in their accts!
  7. Commish at IB is about a quarter pip. Per side.
  8. Frege


    What about the spreads around major data news like NFP? Still only 1 pip?
  9. taboni


    Usually wider than that. Banks widen prices when major news announcements come out. Maybe 3-5 pips.
  10. whats the website fro IB thanks
    #10     Mar 10, 2006