🧮 Free Trading Calculator

Spread Cost Calculator

Calculate the exact cost of forex spreads per trade and over multiple trades. Understand how spreads affect your overall trading profitability.

📊 Spread Cost Calculator
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What is a Spread in Forex?

The spread is the difference between the bid and ask price — it's the broker's primary fee for executing your trade. For example, if EUR/USD bid is 1.0800 and ask is 1.0802, the spread is 2 pips.

How Spread Affects Profitability

Every trade starts slightly negative due to the spread. For a 1-pip spread on a standard lot, you're immediately down $10. High-frequency traders especially need to account for spread costs.

Fixed vs Variable Spreads

Fixed spreads stay constant regardless of market conditions. Variable (floating) spreads tighten during high liquidity and widen during news events or low liquidity periods.

Frequently Asked Questions

Major pairs like EUR/USD typically have spreads of 0.5-2 pips with ECN brokers. Exotic pairs can have 10+ pip spreads.
Trade during peak liquidity hours (London/New York overlap), use ECN/STP brokers, and avoid trading during news events when spreads widen.
Not always. Ultra-low spread brokers often charge commissions instead. Calculate total cost = spread cost + commission per trade.
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