Every pair has two prices: the bid and the ask. The gap between them — the spread — is a real cost आप pay हर ट्रेड पर, and over hundreds of trades it adds up.
Bid vs ask
Thebidis the price at which आप can बेचें; theaskis the price at which आप can खरीदें. आप always खरीदें at the higher price and बेचें at the lower — the difference is the spread, effectively the broker/market-maker's fee.
Why the spread matters
आप start every trade slightly in the red by the spread. On tight major-pair spreads this is trivial; on exotics or during news it can be large. Scalpers, who trade often, are hurt most by wide spreads — cost control is part of strategy.
Spreads, commissions and the honest total cost
Some accounts show tiny spreads but charge a separate कमीशन. The honest comparison is total cost per trade (spread + कमीशन + swap if held overnight). ShaFX's कैशबैक model is designed to return part of that cost — transparently, with no hidden markup.
Key takeaways
- Bid = बेचें price, ask = खरीदें price; the spread is the gap between them.
- आप begin every trade down by the spread — it compounds across many trades.
- Compare total cost (spread + कमीशन + swap), not headline spread alone.