Some brokers offer fixed spread while others variable spread. Which spread are better in your opinion?
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Some brokers offer fixed spread while others variable spread. Which spread are better in your opinion?
if i had to choose, I would choose the fixed spread. many brokers that offer very low spreads, even only 0.5 pips. but, it is only a trap. when there is a very volatile market movements, suddenly spread widened to 5 pips. thus, it is very detrimental to a trader.
in my knowledge both ae advantages.
like if ur new then use the fixed spread. and easily calculate the profit. if ur good traders. and have a good balance and using the scalping then use the variable spread. so u easily make profit from scalping. variable spread is started form min. and may be its have max . 4pips different in eurusd. so its depend on you what .how ,,u wnat to do.
l think fixed spreads are the best since you will always know what you will pay.some brokers say that they charge as low as 0.2 pips but it is not all the time some times it can move until 4 or 5 pips.so you will never be sure if how many pips you have paid.but if it is offering fixed spread you can always monitor your broker and it is easy to count.
I prefer to use fixed spreads than dynamic spreads because using fixed spreads in forex is easier to manage than dynamic spreads.
Dynamic spreads won't be same in one condition and the other condition. So it's easier to manage fixed spreads than dynamic spreads
especially if there is volatile movement like when there is news.
fixed spread is better for the traders coz sometimes u can see 0.5 spread and when u open the position u suddenly saw the spread were 2 or more this dynamic change can make the problem and sometimes when market liquidity is low that time spread will be very much high ..for the better to trade with insta rebate so u can easily get fix 1.5 pips for major pairs