What is the spread in forex trading?
How this answer was verified
- Cross-checked against broker-published fact sheets, regulator licensing databases, and ESMA product intervention notices.
- Reviewed by our editorial team (Marcus Weber CFA, Sofia Lindgren FRM, Daniel Ferretti LLM).
- Refreshed quarterly. The most recent verification date is shown above. Read our methodology.
Related questions
What is the cheapest forex broker in Europe?
The cheapest forex broker in Europe for EUR/USD is Exness, with raw spreads from 0.0 pips and ultra-competitive commission on the Pro account. Exness also offers instant withdrawals 24/7 — unique in the industry. Pepperstone matches on raw pricing via the Razor account. Both are CySEC regulated.
Standard vs Raw Spread account — which should I choose?
Choose a Raw Spread account if you trade more than 5 standard lots per month or use automated strategies. Choose a Standard account if you trade occasionally or prefer a single all-inclusive cost number. Raw accounts cost less per trade above that volume threshold; Standard accounts are simpler below it.
What is a pip in forex trading?
A pip (percentage in point) is the smallest standard price movement in a forex pair — typically the fourth decimal place (0.0001) for most pairs, or the second decimal place (0.01) for JPY pairs. On a standard lot (100,000 units) of EUR/USD, one pip is worth approximately $10.