Broker Spreads
Trade with Ox Securities on some of the tightest spreads in the market today.
The global foreign exchange market is one of the fastest and most exciting financial markets. The FX Market is by far the most liquid market in the work with trillions of dollars changing hands every day.
One of the ways you pay for trading in the market is through the spread, which is the difference between the bid and the ask of the instrument you are trading. When the spread is tight, your trading cost reduces.
Spreads from
Spreads affect your trading
High Spreads
Wide spreads can be the result of low liquidity or high volatility. Exotic pairs that are not as frequently traded will typically have wider spreads.
Low Spreads
Low spreads can be an indication of high liquidity or lower market volatility. Spreads are typically lower in market sessions and outside of economic news announcements.
How Spreads Work
Bid, ask and spread
For example, lets say the bid/ask price of AUDUSD is 0.7103/0.7104. Here, AUD is the base currency and USD is the quote currency. In this example, you can buy AUDUSD at 0.7104 and sell at the lower price of 0.7103.
The difference between these two prices is the spread, and this is essentially the cost of your trade. The spread in this example is 0.7104-0.7103 = 0.0001.
Let’s say you decide to buy 200k AUD/USD because you think the price of AUD will rise vs the USD.
Your cost of this trade would be:
0.0001 x 200,000 = $20
In another example, lets say you decide to sell 10k AUDUSD because you think the price of AUD will fall
Your cost of this trade would be:
0.0001 x 10,000 = $1
Why are low spreads so important?
As a trader, trading with low spreads can be essential to trading a profitable strategy. Many traders have had the experience of having their stop loss hit by half a pip only to have the market reverse back in their favour. It is possibly the most frustrating experience a trader can have and so by trading with tighter spreads, or by building the cost of your trade into the commission, you can often hold onto that trade for another half a pip, which can be the difference between a winning or losing trade
3 account types
Account
Standard Pricing-
Trading Platform: MetaTrader
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Commission (per 100k): zero
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Spreads from (pips): 1.0
Account
Pro Account-
Trading Platform: MetaTrader
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Commission (per 100k): $3.5
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Spreads from (pips): zero
Account
Swap Free-
Trading Platform: MetaTrader
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Commission (per 100k): zero
-
Spreads from (pips): 1.0
Trade the global markets
with spreads from 0.0 pips
Corporate Profile
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