GAIN Capital Reduces Spreads on MT4

I got this email from GAIN Capital last Wednesday; just as anyone else would do, I pretty much disregarded it as an attempt to get more business... But today I downloaded a new demo and the spreads are VERY competitive.

I included the executable file link at the bottom of this thread, so no need to fill out your info at Forex.com or somewhere else.

"Dear Partner,

We’re pleased to let you know that beginning on Friday, February 13, 2009 at 5:00pm ET, FOREX.com will offer tighter spreads.


Customers trading on FOREXTrader:

·Customers currently trading on fixed spreads will be upgraded to fractional pricing, which provides them with access to overall tighter spreads that better reflect available market liquidity.
·With fractional pricing, customers will trade on dealing spreads that are, on average, 20% tighter on some of the most commonly traded currency pairs.
·Customers already trading on fractional pricing will benefit from overall tighter spreads, including EUR/USD & USD/JPY spreads that are now as low as 1.6 pips.
·Customers eligible for FOREXPro pricing will also see a reduction in dealing spreads, now as low as 1.1 pips for EUR/USD and USD/JPY, 1.4 pips for GBP/USD.

Customers trading on MetaTrader Trading Platform:

·Customers who were previously on fixed spread pricing will be upgraded to our standard retail pricing, which will fluctuate based on market liquidity. Our new pricing translates into a savings of up to 60% on some of the most commonly traded currency pairs, with spreads as low as 2 pips on EUR/USD, USD/JPY and GBP/USD. Beginning February 15, 2009, all new accounts will receive standard retail pricing.
·Existing customers previously trading on fractional pricing will be upgraded to FOREXPro, regardless of their balance. FOREXPro pricing features spreads as low as 1.1 pips for EUR/USD and USD/JPY and 1.4 for GBP/USD.


About our pricing

Using our proprietary rate engine, we aggregate prices from some of the world's leading FX banks, in real-time. Our quotes are derived directly from bank prices and our dealing spreads fluctuate to reflect available market liquidity. Fractional pip pricing is quoted in more precise 0.1 pip increments; this extra digit of precision will help clients take advantage of smaller price movements.

For more information, please contact your GAIN relationship manager."


When you download the demo you have the option of different 'account types,' just select fixed (although they are 4 digit, floating) to see the new spreads. Ironically, the normal retail spreads are better than the ForexPro spreads.


http://www.efxnow.com/mt/forexmt4.exe

I've never traded at Gain, but I did have an account at FxPro when they went to floating spreads. They talked about how much of an advantage it would be for traders, but in the end it was just a way for them to raise spreads whenever they felt like it. The key phrase (which I also see in the Gain email) is spreads "as low as." So spreads "as low as" 1.4 can mean that the spread is 10, 12, whatever.

Gain's spreads may actually be very good, I don't know, but this change at FxPro from fixed to floating spreads was definitely negative. I do realize that floating spreads are much closer to interbank reality than fixed spreads, but fixed spreads are/were one of the reasons to have an account at an MT4 bucketshop anyway. If the spreads are floating just like at an ECN broker, then you may as well go with the ECN...

Just my 2 cents

ForexPro is not FXPro, it is an account type of Forex.com or Gain Capital. I am using the MT4 of Forex.com. I don't see much difference after change. I don't recommend Forex.com to others. FXCM seem to have tighter spread. GBP/JPY only 4 to 5 pips. And forex.com usually more than 7.

Dont judge a broker by its spread specially on demo accounts.

If that is the case, why not trade on a broker that offeres 0~1 spread on their demo?
They exists today, gone a few weeks later.

Get a broker that is stable.

the only broker i know that is consistent and i get the exact same trades and spreads on demo and live is the bcoco inverstor4 platform. it's a mt4+currenex ECN. their spreads and commissions are reasonable it's what you you see is what you get. you're not gonna get that with a market maker like forex.com. the execution time is completely different on market makers so one minute the spread could be suitable, but then it might spike momentarily by the time the deal desk takes your trade. small spreads spikes happen on ECN's but still, my trades are the exact same on demo and live and the spreads are the same too. if you ever get two different result from demo and live, find another broker.

Yah there's no confusion on my end LOL. Whatever "ForexPro" is, I wasn't referring to it at all. I thought the point of my post was pretty clear...I WAS referring to www.fxpro.com if that clears things up for you brah...

What a joke,forex.com is terrible and I would not recommend them to my enemy!!! the only reason why I even opened an account with them is because of the fixed spreads.does anybody know of a good "ECN"

Try Nord Markets.

If have min. $10000.