what is the meaning of "spreads from 1.2 pips" ?

I'm scanning through the hfm broker website and they say the spread on their cent/premium account is from 1.2 pips; what does it mean?

It means when trading with that account, you should not expect to be charged spreads lower than 1.2 pips.

For any instrument you trade on the account, the spread will be 1.2 pips or higher. As a matter of fact most times you may never get the 1.2 pips spread; they will always charge you higher than 1.2 pips, so its just a marketing gimmick but in most cases the spread will be higher than 1.2 pips.

K
@karbin - 6 months ago

It means 'variable spreads', with the lowest being 1.2 pips. On the higher side, it can be anything above that value. And it can change based on market conditions.

Your cost of trading can change. So, if you can, then choose a fixed spread broker.

D
@dominykas - 3 months ago

It means the cheapest instrument you can trade with that broker will cost you 1.2 pips. Traditionally, the cheapest instrument is the EUR/USD currency pair.

D
@dominykas - 3 months ago

Spreads from 1.2 pips is kind of on the high side, find a broker that charges lower spread.