Spread

Spread

To come to the definition of the spread, let’s start with bid and ask prices.

You definitely met these terms when exchanging money in the bank. Have you noticed that one price is higher and the second is lower? The lower price is at which the bank buys the currency from you and the higher one is at which it sells the currency to you. The difference between these two prices is called spread. Spread is revenue that a bank gets from the foreign exchange operations it performs for a client.

FX spread works similarly. To enter the forex, you need a broker who will carry out your operations. Will it do it for free? Of course, not. The commission you will pay a broker is called spread.

How to count forex spread. There are two prices on the chart: bid (lower) and ask (higher). Read more about them in our article. The difference between them is called spread. To calculate the spread faster, check the FBS calculator.

When trading with FBS, you can apply to different types of spread: floating, fixed, and no-spread. The type depends on the trading account you choose.

The fixed spread is the best option for traders because they always know how much they will pay for a trade.

The floating spread is the spread that changes all time depending on the market conditions and supply-demand issue.

No-spread or 0 pip spread is an option to trade without the spread. Instead, you will pay a commission.

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2020-07-27 • Updated

Frequently asked questions

  • How to open an FBS account?

    Click the ‘Open account’ button on our website and proceed to the Personal Area. Before you can start trading, pass a profile verification. Confirm your email and phone number, get your ID verified. This procedure guarantees the safety of your funds and identity. Once you are done with all the checks, go to the preferred trading platform, and start trading. 

  • How to withdraw the money you earned with FBS?

    The procedure is very straightforward.  Go to the Withdrawal page on the website or the Finances section of the FBS Personal Area and access Withdrawal. You can get the earned money via the same payment system that you used for depositing. In case you funded the account via various methods, withdraw your profit via the same methods in the ratio according to the deposited sums.

  • How to start trading?

    If you are 18+ years old, you can join FBS and begin your FX journey. To trade, you need a brokerage account and sufficient knowledge on how assets behave in the financial markets. Start with studying the basics with our free educational materials and creating an FBS account. You may want to test the environment with virtual money with a Demo account. Once you are ready, enter the real market and trade to succeed.

  • How to activate Level Up Bonus?

    Open Level Up Bonus account in web or mobile version of FBS Personal Area and get up to $140 free to your account.

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