That makes the collection of bid /
ask pip spread one profitable stream of income.
Not exact matches
I saved about $ 110 after subtracting the trading costs and bid /
ask spread from the 75
pips Questrade would have charged to convert it for me.
For example if the Bid &
Ask price for the EUR / USD currency pair is 1.0875 / 1.0878, this means the
spread is 3
pips.
The bid /
ask spread could be 10 -
pips wide and would not matter one whit if the trade worked in favor from entry to targeted profit exit.
The futures contract has a 1 -
pip bid /
ask spread valued at $ 12.50 while the FX contract has a 2 -
pip spread valued at $ 20.
In foreign exchange, the standard bid -
ask spread in EUR / USD interbank quotes is between two and four
pips - the price move in a given exchange - depending on the amount being traded and the time of the day;
spreads are typically narrowest in the morning in New York when the European market is also open.
The difference between the BID and
ASK price is the
SPREAD, which in this case, is 1.3483 — 1.3480 = 3
pips.
The Forex trading bid
ask spread is usually worth only a few forex
pips, because the online Forex has large liquidity.
So essentially the only fee associated with a forex trade is that you start out being a few
pips negative on every trade due to the bid /
ask spread.
Spread is a sum of
pips that occur between the bid and
ask prices.