Hi
I can’t figure this one guys, what is tha benefit of using most forex brokers like FXCM for currency pairs paying a 1-3% spread when I can trade any major individual currency futures for .75round trip with a futures broker.
Am I missing a big benefit of trading forex pairs somewhere?
Thanks
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I think you have to clarify your question more…
try this site..maybe it could help you on your questions..
http://www.currency-trading-tutorial.net/
This is very nice question you post. The answer of this question is given in detail in my source website forextradingevo.com. This question has 2 diffrent ways of answer that will clear your concept.
Hi David,
It’s a good question you’re asking. Some forex brokers try to make it out like spots are far superior to futures, but the difference isn’t that big. Other brokers offer both (see some at http://forextradingwinners.com/category/forex-broker-reviews).
Spots are generally cheaper to trade as there is mostly no commission. Spots are not regulated by the FTC either. Spots as you know are settled instantly as opposed to futures. This CAN be cheaper as well.
Spots are more flexible and come in different lot sizes. Futures are often only standard lots of 100,000.
Futures are more transparent and have more info available freely.