As a forex trader, there is little doubt that one of the key things you will be considering when choosing your forex broker in 2020 is the spread. The spread in forex is one of the most important things to take into account when you are entering the market.
With that in mind, we have charted the brokers with some of the best-fixed spread offers in the industry for you to select from.
Top 10 Fixed Spread Brokers
In no particular order, here are some of the best we have found in the forex market:
One of the top brokers when it comes to finding a great fixed spread in the forex market is AvaTrade. This broker offers fixed spread accounts only, with these fixed spreads starting from a very competitive 1.3 pips in total on a host of markets.
The range of markets offered includes more than 50 major, minor, and exotic currency pairs. The fixed spread offers here help you to know exactly where you stand before placing every trade.
The AvaTrade minimum deposit is also one that remains competitive across the forex trading market at a simple $100.
The broker is also one of the most comprehensively regulated in the industry with regulation coming from a variety of trusted bodies including ASIC, FSCA, and four others. This, along with their long track record of award-winning success can make them an excellent choice as a fixed spread broker.
FxPro is another excellent choice if you are in the forex market and looking for a top fixed-spread broker to advance your trading. They offer 3 account types that give you options to trade on several top trading platforms.
You can choose between MT4, MT5, or cTrader trading platforms. These trading platforms are among the most prevalent and respected in the industry. If you are looking to trade with fixed spreads through this broker though, you should note that these are available with MT4 only.
FxPro as a forex broker offers an extensive choice in what you can trade. Of the 65 major, minor, and exotic currency pairs that are offered, a total of 6 are available with fixed spreads that begin from 1.6pips.
The broker is also trusted in regulatory terms being CySEC, FCA, DFSA, and FSCA regulated and compliant.
If you are looking for the lowest fixed spread broker as a forex trader, then there is no doubt that OctaFX should be high on your list of choices. The broker provides for access to the forex trading market through a number of fixed spread trading options.
The choices include the ability to select your preferred trading platform from the three major players in the industry, MT4, MT5, and cTrader. Accounts can be open for a minimum deposit of $200 and those looking to enjoy fixed spread trading can do so through the MT4 trading platform.
A total of more than 20 currency pairs are made available, although only 10 of these are currently available to be traded using fixed spreads. Gold and silver trading with the USD as a currency pair is also available if you are looking for more fixed spread markets. Trading on these and other forex markets with a fixed spread starts from 2pips.
Our OctaFX review noted that they are an excellent choice if you wish to engage in gold or silver trading along with your forex trading.
This Australian broker offer more great choices when it comes to trading at the very best rates on a fixed spread account. They provide forex trading accounts with a minimum deposit starting from a very competitive $100 worldwide.
EasyMarkets also offer trading through the well-known MT4 trading platform. This can be accessed through download or on the web. With that, forex trading is made available on a huge range of assets. There are more than 120 currency pairs to choose from as well as commodities and other assets. The key thing here is that every asset is available to trade with fixed spreads from a highly competitive 0.9 pips.
In addition, this forex broker is very well regulated by two of the foremost authorities in the industry in CySEC and ASIC. Of course, there will still be some risk warning as with trading any markets, though this is well managed by such respected compliance.
5. City Index
City Index is another top forex broker that has worked hard to offer highly competitive choices when it comes to fixed spread trading. The fixed spread account types that are on offer can be accessed by forex traders with a minimum deposit starting at $100.
Trading on these fixed-spread accounts is made available through the MT4 trading platform as with many of our best forex brokers listed. As a forex trader here, you can expect to encounter thousands of assets available. This includes a very low starting spread on forex currency pairs as well as 16 indices from around the world that can be traded from 0.3 pips spread in spread betting. 15 of these indices are also available for fixed spread trading if you select them for futures trading.
City Index is again a well-regulated and trusted broker with this regulation coming from the FCA in the UK. With so many markets available, this is ideal if you are a forex trader interested in maximum choice. They are also well known as a top broker for trading indices with a fixed spread.
Forex.com is a long-time stalwart of the forex trading industry. They offer accounts for you as a forex trader from a minimum deposit of $50 with some fixed spread assets available for trading.
When you are trading through Forex.com you will note that hundreds of assets are available. Of these, the commodities trading assets are available for those who wish to utilize a fixed spread starting from a very low 0.06 pips on Sugar markets. Crude Oil (5 pips), Coffee (0.9pips), Cotton (0.35pips), and Cocoa (8pips), are also available for fixed spread trading.
With a longstanding history in the industry, the broker is also very well regulated around the world by as many as 5 top regulators including the FCA, and ASIC. They are considered a top choice for commodity fixed spread trading.
As a forex trading seeking the most competitive fixed spread offerings, Instaforex is another that has made our listing of top forex trading brokers. These fixed spreads are easily available through the brokers standard account and the minimum deposits remain very competitive throughout.
This is exemplified by the fact you can deposit from as low as $1 to engage in micro trading with the micro account. A mini account is available from $100, and the standard trading account form $1000.
A key market as a forex trader looking for fixed spreads is the forex currency pairs trading. You will be glad to know that Instaforex offer fixed spreads throughout these markets with an impressive range of more than 100 forex pairs available with a minimum spread starting at 2 pips.
Further than that, the broker is renowned among Asian traders having collected no fewer than 19 awards related to the Asian market. To top it off, they are well-regulated by both CySEC and the FSC.
Another of the most experienced and well-known brokers in the forex trading market that you should certainly consider if you are looking for good value fixed spread trading is Plus500. While they do not explicitly publicize a listing of the assets they make available to you as a fixed spread forex trader, there are many.
The account with this broker can be opened with an excellent value $100 minimum deposit. Then once you have chosen your markets or currency pairs to trade, you can check out the fixed spread if it is available although they do focus mainly on offering a floating spread. The best thing you can do is contact the Plus500 team to confirm availability of you are unsure.
Looking beyond that, as a trader in the forex market, regulation is always key. Therefore you will be glad to note that Plus500 are well-regulated by a host of top authorities including CySEC, FCA, ASIC, FSCA, and MAS. They are also well-respected as one of the best CFD and forex currency pair trading brokers around.
HYCM offer a fixed spread account with a number of assets available for trading and should be one of the major considerations you make if you are a forex trader looking to engage the financial services of the industry’s top brokers.
The HYCM fixed spread trading account is available with a minimum deposit starting from only $100 and the account itself features trading in a wide range of key markets including forex currency pairs, indices, commodities, and stocks. This is a wide and welcome selection to any trader and the fixed spreads usually start from around 1.8pips in most major forex trading markets.
The fact that they are well regulated by the FCA, CySEC, and others is one of the main reasons behind many forex traders choosing to deal with HYCM around the world. They have also won multiple awards globally for their service.
10. Trading 212
Last but by no means least on our listing of the lowest fixed spread forex brokers around is trading 212. They again make fixed spread trading available across a range of markets including trading in 27 currency pairs, metals, and indices.
You can get started as a forex trader with Trading 212 for as little as $10 and have many options within their CFD trading account. The fixed spreads that are available from this forex market broker begin from 6 pips on forex trading markets. As an added positive, the broker is well regulated by both the FSC, and FCA in the UK as well as being a top choice for those forex traders from outside Europe thanks to a wide choice of assets and a high leverage availability.
This can be great for those who wish to move beyond the restrictions of trading with a maximum leverage, but still remain protected by top-tier financial regulation.
What is Spread
The spread when you are engaged in forex trading is very simply the difference between the bid and the ask prices of a forex currency pair or another trading market. This spread is sometimes the way in which almost all of the top forex brokers make a marginal profit through having their own small markup, although they remain as competitive as possible.
What does fixed spread mean?
Thinking about the spread in forex, you will typically encounter 2 types. Fixed spreads, and variable or floating spreads. The latter of these is usually more common and means that the spread can change (or float/vary) depending on the demand or volatility of a market. As mentioned above, this can provide some opportunity for a broker markup.
Fixed spreads on the other hand, as the name would imply, do not move. These are set by the broker and will almost never change, at least not in any short frame of time. Brokers who used fixed spreads can also be termed as a market maker broker.
Floating spread vs fixed spreads
Looking at the spread in forex from a trader perspective, you may wonder which one is best as a forex trader. This simply depends on the market and on the moment. Some may say that floating spreads tend to be averagely lower, although this is not always the case and the fact they can change does provide you as a forex trader with some level of unpredictability.
Many in the forex trading industry like to eliminate this uncertainty and so they choose to deal with what may be a marginally higher fixed spread but they can understand the exact cost of their trade with ease.
With that said, when choosing a market maker broker for forex trading, you are relying a lot on the integrity and reputation of that broker to set the fixed spread in a fair and reasonable manner. Thus, you should always try to go with a very well-regulated broker like all that we have listed above. If you can do this, then in the long-term, depending on your forex trading style and the movements of the market itself, you may well find that you can save money and trade in a more economical manner with the fixed spread in place.