The foreign exchange difference refers to the difference between the buying price and the selling price. Because traders tend to exchange one currency for another, foreign exchange trading currencies are usually quoted at the current price compared with another currency. For convenience, these currencies are written in pairs, such as AUD/USD (AUD/USD-where AUD is the "base currency" and USD is called "relative currency".

The spread of foreign exchange platforms is different.

At present, the price difference between interbank transactions is 2-3 points; Banks (or dealers) vary greatly, even several times, according to their own situation, which is mainly determined by the differences in the development of foreign exchange business and transaction processes in different regions.

At present, the quotation spread of foreign regular margin dealers is around 5: 00, Hong Kong is around 6-8: 00, and domestic banks are around 5-40: 00 (the trading volume will be given a little discount).

The smaller the price difference, the better.

The bigger the spread, the higher the seller's price and the lower the buyer's price. Therefore, you need to pay more when you buy, and get less when you sell, so it is difficult to make a profit. ?

Extended data:

Minimum unit "lots" for margin trading

When we know what spread is, what we need to know is the unit "hand" closely related to spread, that is, the smallest unit of margin trading. If it is a standard account, the transaction unit provided by brokers on the internet is 1 hand, and the transaction volume is 65438+ million base currency.

If it is a mini account, the first-hand transaction is110 of the standard account. For example, the actual transaction of USD/JPY is equivalent to actually buying (selling) USD/JPY 65,438+million USD. If it is Euro/USD, the actual transaction volume is equivalent to Euro/USD worth 65,438+million euros.

References:

Baidu encyclopedia-foreign exchange spread