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Forex Trading How Do Spreads Really Work?
avatar Mymelody
Question by: Samanthar - 19 Oct 2016, 08:59:58
How Do Spreads Really Work?
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<a href="https://www.instaforex.com/?x=YOUR_PARTNER_LINK">InstaForex</a>
<a href="https://www.instaforex.com/?x=YOUR_PARTNER_LINK">InstaForex</a>
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avatar user 11156
Answer by: Joseph - 19 Oct 2016, 09:31:37

Brokers can charge either a routing fee or build the fee into the spread. Put simply, the higher the spread, the more it cost you to trade. Most spread-based brokers fix the spread as a way to include their fees in the price of a trade instead of displaying the quote being received from a bank or market maker.

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