Don't waste time on hand calculations, Head Capital explains how to quickly learn MT4 spreads.
When you want to enter a trade in MT4, you need to set the parameters for future trades in the trade window. In the same window, you can see the bid and ask prices. If you compare these two ** in the example above, you will see that the difference between the two values is only two points, 111229 -1.11227 = 0.00002.It means that the spread at the time of entry is less than one pip, 02。
Now let's take a look at how to understand spreads in MT4.
In the Trade Execution window, click on the "Instrument Information" tab. This tab displays the bid and ask prices and the spread values in separate fields. In this example, the spread is even smaller, 1 pip.
Let's take a look at how to trade the spreads.
Let's say you want to enter a ** trade on EURUSD. The ** of the currency pair is 111617 and 111616。Since we want to buy, someone should sell it. The seller is in Forex, and its selling price is 111617。At this **, the trade will enter, although the last ** in the chart will be 111616。This is because we pay the ** specified by the seller.
After some time, we decided to withdraw from the trade. Therefore, we will ** the assets that were previously purchased. The buyer sets ** to 111621, despite the fact that the foreign exchange ** is 111622。So, adding all of these **, we see that ** covers 111616 and 111622, i.e. 6 points. But we start with 111617 and 1The distance between 11621 is profitable, which is 4 pips. The two lost pips are the spread.