First, the price difference. The spread is divided into fixed spread and floating spread. Fixed spread is convenient for traders to analyze transaction costs. When traders choose brokers, the spread fee is fixed, which means that the spread fee will not change. If the brokerage cost is fixed, the price difference will not increase even if there is unexpected unfavorable news and the market fluctuates violently. However, it should be noted that the fixed spread is usually higher than the floating spread. This is the difference between the two. For many brokerage platforms, the spread fee is the most important source of income. As traders, they need to pay the spread fee for each currency transaction. The difference lies in the difference between the purchase price and the selling price. The price difference may change with the market fluctuation.
2. Overnight interest. Many investors don't care about overnight interest, but they also need to understand that if the position takes more than one day, the brokerage platform will charge overnight interest. The specific expenses are calculated according to the provisions of the brokerage platform, and only involve the overnight interest expenses of long-term traders.
Third, the cost of slippage. Slip point is due to network delay, which will inevitably occur when the market fluctuates violently at that time. The slip point will not exceed 1, but even so, investors will suffer greater economic losses. Investors need to choose a brokerage platform with low slip point to trade, thus greatly avoiding the financial loss caused by slip point.