i'm with tickmill and saw spreads increase 2 times over. it was 0.1 now it's 0.3 on eur/usd. i saw details from other brokers and they had increases since yesterday. is it possible it's the end of the month and that's why the spread increased?
what your point? ecn average 0.0-0.5 point still ok for me..depend the commision for different broker..the important is slippage..that the most common ecn trader would face it. spread its about the liquidity in that current market..
A 0.3 spread on EUR/USD is not bad. If you mean that happened on Friday on late hours or just before closing, that's normal. There is no reason why spreads should rise at the end of the month. It has more to do with liquidity and day of the week.
i'm with tickmill and saw spreads increase 2 times over. it was 0.1 now it's 0.3 on eur/usd. i saw details from other brokers and they had increases since yesterday. is it possible it's the end of the month and that's why the spread increased?
Ignored
If it was end of week(friday evening) than it is ok.
i'm with tickmill and saw spreads increase 2 times over. it was 0.1 now it's 0.3 on eur/usd. i saw details from other brokers and they had increases since yesterday. is it possible it's the end of the month and that's why the spread increased?
Ignored
From theoretical point of view this doesn't make sense. Spreads widen when risk of being market-maker increases (i.e. market sharply becomes too bullish or bearish) or when the liquidity is thin. There is no evidence that something of mentioned above happens exactly at the end of a month.
But will do additional research on that because you raised interesting point.
{quote} From theoretical point of view this doesn't make sense. Spreads widen when risk of being market-maker increases (i.e. market sharply becomes too bullish or bearish) or when the liquidity is thin. There is no evidence that something of mentioned above happens exactly at the end of a month. But will do additional research on that because you raised interesting point.
Ignored
Your first sentence is not correct - obviously your theoretical model of the marker does NOT match behaviour of the real market.
Your second sentence is correct. So... ask yourself a question: what would make a retail broker to increase spread at the end of the month? What they are "afraid of"? What they expect to happen at that time and try to insulate themselves from?
