What is Spread?

In the Forex Market spread is called the difference between the sell price and the buy price.
 
Below you can see an example of the spread.
 
1.44230(Buy)
1.44219(Sell)
 
The difference between Buy price and Sell price is 0.00011 spread or 1.1 pips.
 
 
Does the spread effect Expert Advisors(EA)?
 
One of the most essential characteristics of any expert advisor(forex robot) is the effect of the spreads that have on the profitability of the trading system. It's often neglected by people when they are looking for an Expert Advisors(EA) and it is a vital issue since the most of robots are very sensitive to spread values and it's most likely fail or reduce the profitibility when you trade on the real market.
 
All the forex robots developed by FXautomater company have high spread protection. This protection system will avoid trading in not favorable moments when the spread is high than usual. This will keep your investment in safe.

Share this Post

Comment(s) (0)

Leave a comment

Success! Your comment has been sent to the moderator.In case you have any questions do not hesitate to contact the support team. Note that we do not support SPAMMERS.
Error! There was an error sending your message.

Disclaimer U.S. Government Required Disclaimer – Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts. Clearly understand this: Information contained within this course is not an invitation to trade any specific investments. Trading requires risking money in pursuit of future gain. That is your decision. Do not risk any money you cannot afford to lose. This document does not take into account your own individual financial and personal circumstances. It is intended for educational purposes only and NOT as individual investment advice. Do not act on this without advice from your investment professional, who will verify what is suitable for your particular needs & circumstances. Failure to seek detailed professional personally tailored advice prior to acting could lead to you acting contrary to your own best interests & could lead to losses of capital.

*CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.

By using FXAutomater's products, you acknowledge that you are familiar with these risks and that you are solely responsible for the outcomes of your decisions. We accept no liability whatsoever for any direct or consequential loss arising from the use of this product. It's to be noted carefully in this respect, that past results are not necessarily indicative of future performance.