Spread is a measurement of the difference between the current bid and ask prices of a particular trading instrument. The spread value is typically shown in pips, which is a term used to describe the price changes of an instrument.
For example, if the Bid price is 1.11113 and the Ask price is 1.11125, the spread would equal 0.00012 or 1.2 pips.
For many brokers, the spread is taken as a source of revenue, including Exness.
Note: Spread values shown on the website are average values for the previous trading day. This can differ from the real-time spread of an instrument on trading platforms. Refer to why is spread shown differently on MT4/MT5 and the Exness website?
- Spread Type
- Factors affecting spread
- Checking the spread
Spread Type
At Exness, we provide trading on instruments with dynamic spreads. We also offer to trade on stable spreads but only for certain currency pairs.
Dynamic spread, also known as floating spread, constantly changes. A spread’s value depends on market volatility and may be wider or narrower than average, so these frequent changes are what dynamic refers to.
Stable spread is fixed most of the time, providing traders with predictable costs of trading. The calculation of stable spread is made using the weighted average of the spread and ticks in a certain timeframe.
Instruments that offer stable spreads nearly 90% of the time, excluding periods of market volatility, include:
- EURUSD
- XAUUSD
- GBPUSD
- USDJPY
- GBPJPY
- USDCAD
- AUDUSD
- USDCHF
- EURJPY
- EURGBP
Factors affecting spread
The most important factors that affect the spread of an instrument include:
- Market volatility
- News releases
- Unexpected economic events
- Market opening or closing
Other factors include:
- The instrument itself. Majors are often traded in large volumes and have a narrow spread, as opposed to Exotics which often have a wide spread.
It is recommended to watch our Economic calendar for important news events to anticipate seasons of widened spread.
Checking the spread for each instrument
The available trading instruments’ contract specifications can be found on our website.
The average spread displayed is an approximate estimation of the spread of an instrument (in pips). These specifications indicated the average spread from the previous trading day since the maximum spread cannot be determined as the spread is affected by market conditions. It is calculated by studying the spread trends of an instrument over a period of time.
If you would like to view the exact spread of an instrument live, follow the respective steps below for the available trading platforms:
How to view spread on Exness Terminal:
- Log into your Personal Area (PA).
- Click Trade on any MT5 account, then select Exness Terminal.
- A new tab will open, logging you into Exness Terminal.
- Under Instruments, click on the 3 dot icon and toggle Spread from the options shown to be able to view spread.
- Once done, the spread will be displayed in the list of instruments.
Note: The current spread will be shown for majors, minors, and exotics only. Spread for cryptocurrencies, energies, indices, and stocks will be displayed in quote currency and cents.
How to view spread on MT4:
- Log in to MT4.
- Find the Market Watch window.
- Right-click on anywhere in this window, and select Spread from the options listed.
- Now, each instrument will show the exact spread in a new column.
How to view spread on MT5:
- Log in to MT5.
- Find the Market Watch window.
- Right-click anywhere in this window, and select Columns, then Spread.
- A column will appear in the Market Watch window showing the exact spread for the instruments.