I was thinking that customers(traders) are those who place orders. Then you buy an asset from a customer and sell it to another customer. In this case, how broker benefits from spread?
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DislikedI was thinking that customers(traders) are those who place orders. Then you buy an asset from a customer and sell it to another customer. In this case, how broker benefits from spread?Ignored
DislikedSo this prices are just some magic generated by broker software? Or real orders placed by other traders? {image}Ignored
Disliked{quote} Could you please clarify: what is "only consume Liquidity" ? And how ECNs are important here?Ignored
DislikedRegarding the topic question. Please anybody help with the example. If I buy 1 lot of EUR/USD for 1.2000 then sell for 1.2010, then I earn 10 pips: 0.0010 * 100 000 = 100 USD. At the same time EUR/USD spread is declared to be 0.7pips. So since the price moved 10pip > 0.7pip the broker spread is unimportant for me ? Or to which part of the calculation does spread apply?Ignored