Best Low Spread Forex Brokers September 2024

The broker offers an impressive commission of $2.25 per lot traded, significantly lower than we’ve seen across the industry. As you can see in the table below, FP Markets beat the industry average across its major pairs, cementing its place for low spreads that are ideal for scalpers. This, coupled with lower commission rates (50% cheaper) than those of CIRO-regulated competitors, positions FP Markets as an ideal platform for scalping. In our live spread testing, we found CMC Markets spreads to be competitive, with the Standard account averaging 1.12 pips on EUR/USD, one of the lowest spreads for a CIRO-regulated broker.

Brokers may offer accounts with zero spread but charge a commission or accounts with a higher spread and no commission. In our reviews, we consider the benchmark spread for EUR/USD to be 1.0 pips on a commission-free trading account. In addition to its crypto markets, we found the broker offers a decent overall market selection, including 56 forex pairs, 586 stocks, 16 indices, and eight commodities. While it may not have the largest range available from the brokers we’ve tested, it offers popular markets with the lowest spreads. Our testing found that the broker offers a decent choice of markets, including 55 forex pairs, 33 indices, 632 shares, and 17 commodities – covering all the major markets.

Check the broker’s fee page carefully and consider using a demo account or starting with small funds to, firstly test the live spreads and fees. Traders new to the market can also use a free demo trading account to test the products and services risk-free, making RoboForex a top broker to consider for beginners. Based on our hands-on analysis, we’ve identified 7 best options tailored to various trading needs. Having traded with many different brokers myself, I would say it is wise to verify which entity you are opening a trading account with and where and how they are regulated for peace of mind.

What is the typical minimum deposit required to open a low-spread or zero-spread account?

There are many non-CIRO-regulated Brokers Accepting Canadian Traders, such as Fusion Markets, FP Markets, and Eightcap. Although they do not hold CIRO licenses, they are regulated brokers and offer excellent services at a lower cost than CIRO-regulated brokers. For a broker to be regulated, it must meet strict operational requirements, such as ensuring the client’s accounts are segregated from the broker’s accounts. Trading with CIRO-regulated brokers also gives you extra protection should the broker go bankrupt. In our tests, FP Markets achieved zero-pip spreads an impressive 97.83% of Poloniex Crypto Exchange the time, which is why we recommend the broker for scalpers. The platform has advanced charting capabilities, with over 75 indicators and specialised pattern recognition tools, allowing you to perform technical analysis even faster.

This allows you to cut down your trading costs and improve your profit margins, which will benefit you if you are an active trader. FOREX.com has an impressive range of 3,000+ markets, including 80+ forex pairs and multiple trading platforms like MT5 and TradingView. When we opened our account with OANDA, we found they only offered a Standard account, meaning you’ll just pay the spreads and no commissions on your trading.

Who Are The Best Lowest Spread Forex Brokers In Canada?

And of course, it is more beneficial to a trader’s financial position to work via a rebates provider than solely with the forex broker. I also discovered an excellent range of additional trading and research tools available at FP Markets. These include Trading Central and Autochartist, which deliver rich and real-time technical analysis and trading ideas. Founded in 2007, IC Markets has entities regulated by CySEC, ASIC, SCB, and the FSA Seychelles.

1. The platform offers one-click trading, trailing stop orders, and other essential tools.
2. FOREX.com has all three proprietary platform options, namely desktop, web and mobile.
3. When trading with MT4 and MT5, the commission per trade is $3.50 per lot per side.
4. We’ve evaluated over 60 forex brokers, using a testing methodology that’s based on 100+ data-driven variables and thousands of data points.
5. Instead of making money from spreads, ECN brokers charge a commission for accessing these tighter spreads.
6. Founded in 2005, FP Markets is based in Sydney, Australia, is authorized and regulated by ASIC and CySEC, and has an unregulated entity based in St. Vincent and the Grenadines.

How did FX Empire select the Best Zero Spread Forex Brokers?

If reduced trading costs and faster execution are high priorities, then a zero spread account may be a good fit. However, it is important to be aware of the potential drawbacks such as higher commissions, limited liquidity, and lack of market depth. Some zero spread brokers may also apply markups to trading products such as futures and options, which can impact the prices quoted to traders. A zero-spread broker offers spreads as low as 0 pips on select markets, such as the forex majors like EUR/USD.

The standard account spreads averaged 0.5 pips on EUR/USD, and RAW average spreads go as low as 0.0 with a reasonable $2.25 commission per lot. CMC’s NGEN platform simplifies trading with advanced charting and handy tools like the pattern scanner to automate analysis. Choosing a zero-spread forex brokerage can significantly impact your trading profitability by minimizing costs and maximizing potential gains. These brokers provide transparent and fair pricing by eliminating the spread markup, ensuring you get the best possible rates.

Please consider contacting a professional advisor if you require any financial assistance. BestBrokers.com does not assume liability for the financial losses our readers can potentially incur while trading with the online brokers we shortlist. Readers should bear in mind online trading with leveraged derivatives carries a high level of financial risk. It is, therefore, unsuitable for those who lack proficiency and sufficient experience. In contrast, the forex pairs that tend to have low spreads are typically the major ones, with an example being EUR/USD, which often has spreads averaging at around 1 pip or under. As they do not always match, the difference between the two prices is called the spread and it is measured in pips (percentage in points), with the pip being the smallest price move of a pair.

Ultimately, our rigorous data validation process yields an error rate of less than .1% each year, providing site visitors with quality data they can trust. If you want to learn more about algorithmic trading and automated high-frequency trading systems, check out my guide to high-frequency trading or my guide to the best algo trading software.

While a zero-spread account can serve to make your trades have either low or non-existent spreads, there are some downsides that you should consider before you settle on going with such an account. Wide spreads like those of the EUR/TRY pair tend to indicate a volatile market with minimum liquidity. If you see a pair with narrow spreads, however, then usually, its liquidity will be high while its volatility–low. By adhering to these guidelines, you can reduce the risk of falling victim to forex and CFD scams and enhance your overall trading experience. Another key benefit for beginner traders is the ability to access pepperstone review customer support 24/7. A significant benefit of FP Markets is its extensive range of third-party tools.

Justin has published over 100 finance articles from Forbes, Kiplinger to Finance Magnates. He has a Masters and Commerce degree and has an active role in the fintech community. If slippage occurs, you may receive a lower (and sometimes higher) price than you ordered, which can be an added cost to your trading. Its utility in identifying critical price levels from the previous day provides actionable insights into where prices may react/move during the day. Our broker reviews are reader supported and we may receive payment when you click on a partner site. Steven previously served as an Editor for Finance Magnates, where he authored over 1,000 published articles about the online finance industry.

The commission can vary depending on the broker and the type of account and may be a fixed fee or a percentage of the trade value. Some zero spread brokers may also charge a monthly or annual fee for the use of their trading platform. Zero-spread forex brokers streamline market access for undercapitalized traders by minimizing trading costs.

We think the brokers that offer low spreads are great as the savings add up over time and can boost your profit margins, especially if you scalp the markets where tighter spreads are vital for profits. The spread in forex is simply the difference between the bid price and the ask price for a given currency pair. The “ask” price is the rate (or, counter-currency price) at which you purchase the base currency in a forex currency pair. The “bid” price, on the other hand, is the rate at which you sell the base currency in a forex pair. ForexBrokers.com has been reviewing online forex brokers for over eight years, and our reviews are the most cited in the industry.