Forex Pips And Spread 2

Generally speaking, the greater the volume of currency being exchanged the smaller the spread. For example trades worth of a million dollars or larger might have a spread that is quite low, perhaps 5 pips; lesser trades will almost always have a correspondingly larger spread. Then credit card companies typically utilize a spread of anywhere between 200 to 300 pips. The usual range of spreads utilized by exchange offices and banks is anywhere from 200 to 1000 pips, not counting expense, the cost of doing business, and commissions.