What Forex Market?

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Tyler19
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Postby Tyler19 » Thu Apr 12, 2007 12:08 am

Can someone please explain to me how the commission works with forex? I understand that you pay the spread for a commission but how much is that usually?
With EFX its diffrent can someone explain this?

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4x=0
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Postby 4x=0 » Thu Apr 12, 2007 1:15 am

efx commissions are calculated like so:

http://efxgroup.com/commissions.html

as far as the spread goes... depending on who you ask around here.. either there is a spread, or there is no such thing as a spread with efx. obviously you will see different prices between bid and ask, but it is all relative, meaning once you are in the trade - the bid ask could narrow all the way to 0. It could also widen.

you don't pay the spread for a commission, you pay the commission no matter what.

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TheRumpledOne
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Postby TheRumpledOne » Thu Apr 12, 2007 6:04 am

THERE IS NO SPREAD!

FIXED SPREAD BROKERS are taking ADVANTAGE of people's IGNORANCE!!

The difference between the bid and ask fluctuates. Usually it is 1 pip during busy times. Sometimes the bid = ask and sometimes bid > ask.
IT'S NOT WHAT YOU TRADE, IT'S HOW YOU TRADE IT!

Please do NOT PM me with trading or coding questions, post them in a thread.

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Tyler19
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Postby Tyler19 » Thu Apr 12, 2007 9:39 am

So what does this mean TRO?
When I long ill be down the commision plus 1 pip or so?
how much $ is that like 5$?

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Postby Patch » Thu Apr 12, 2007 10:16 am

Hi Tyler19

This is what EFX Group says on their website: [Fixed spreads are a way for FCMs to markup or markdown the best bid or offer. FCMs do this to hide their fee into the price of the currency pair instead of displaying their best quote. Common sense tells you that no one works for free, so when you see an FCM claim they have ?no commission?, that should be a red flag. So how are they getting paid? Its simple: they are making money with the built-in markup/markdown in the spread.

Our FCM, MB Trading Futures, has nothing to hide. They offer tighter spreads with no markups/markdowns and openly display a low commission rate.

Commissions are based on total dollar amount traded: $5 per 100,000 currency traded.]
http://www.efxgroup.com/fees-and-account-info.html

Do you have EFX's trading platform loaded? You can see the spread on the pound range from -2 or -1 pips to 0 to 1 to 2 pips when the GBP is moving fast. The negative pip spread is momentary and profit to you if you catch it.

So you "pay" the pip spread when it is positive plus the commission. You can also call EFX's tech support between the hours of 9:00 a.m. - 6:30 p.m. EST at: (877) 212-1112. Please post any additional information.

Patch the Pirate
In VA

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