The spread is the difference between the price you can buy at (ask) and sell at (bid). It is an inherent cost of every trade: the wider the spread, the more a position must move in your favour just to break even. Low, transparent spreads matter, especially for frequent traders.
Forex Term
Spread
The gap between the bid and ask price — a built-in cost of trading.
Example
If EUR/USD is quoted 1.1050 / 1.1051, the spread is 1 pip.
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Risk
Forex and CFD trading involves significant risk of loss and is not suitable for all investors. Leverage can work against you. This content is educational and not financial advice — always do your own research.