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- 1. Compare the best low spread forex brokers in 2023
- 2. Best low spread forex brokers overall for 2023
- 3. What are the best low spread forex brokers?
- 4. Top 4 best low spread fx brokers, reviewed
- 5. What is a low spread forex broker?
- 6. The best low spread forex brokers for beginners and experienced traders
- 7. What should I look for in a low spread trading platform?
- 8. Quick answers to key questions
- 9. Should I use a low spread broker to trade forex?
Compare the best low spread forex brokers in 2023
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10/1077% of retail CFD accounts lose money.
This page helps you compare some of the best low spread forex brokers around. We explain what low spread brokers are, what to consider before choosing one, and compare the top ones around.
Best low spread forex brokers overall for 2023
- eToro: Best for beginners, copy-trading & demo-account
- Capitality: Best for trading like a pro
What are the best low spread forex brokers?
If you’re already familiar with low spread forex brokers then check out the table below. Our experts have selected the best brokers with the lowest spreads and you can sign up in just minutes. Alternatively, continue scrolling to learn more.
77% of retail CFD accounts lose money.
Top 4 best low spread fx brokers, reviewed
1. eToro. Best for beginners, copy-trading & demo-account
1500
No. assets
$10
Minimum deposit
Forex
Platform type
Pros & Cons
Overview
We love eToro because it’s an easy place to trade the currency markets. Forex can be intimidating, but eToro strips back the complexity to give you a platform where you can trade 50+ currencies at competitive prices and with up to 30x leverage.
As well as being a broker that offers lots of investor protection, eToro offers a very social trading experience. You can easily see how all the major and minor forex pairs are performing every day, track how investors feel about every one of those currencies, and copy other people’s trade suggestions from your desktop or the eToro app.
The fees: eToro charges a fee on currency CFD trades through the spread. Spreads are variable depending on the currency and start from 1 pip for EUR/USD trades, 1.5 pips for EUR/GBP, and 2 pips for GBP/USD. Overnight and weekend fees apply.
77% of retail CFD accounts lose money.
2. Capitality. Best for trading like a pro
...
No. assets
...
Minimum deposit
Forex
Platform type
Pros & Cons
Overview
We love Capitality because it gives regular investors the means to trade with pro data and tools. Capitality offers 2100+ financial instruments, including 80 currency pairs.
The Capitality web trading terminal gives you access to live market data, real time quotes, and super-fast trade execution, all without needing to download anything. There’s also a free economic calendar that lets you know when the big financial events happen so you can plan your trades accordingly.
The fees: Capitality charges its fees through the spread. Spreads start from 0.1 pips for major forex pairs but can be significantly higher for minor and exotic pairs.
What is a low spread forex broker?
It’s a company that allows you to trade the forex market while offering low spreads. The difference between the buy and sell price is known as the spread. Forex brokers who offer low spreads usually charge a fee or commission to make profit for themselves. Low spread brokers are generally suited to day traders who enter and exit the market frequently.
What is low spread?
The spread is the difference between the buy and sell price of two currencies, and is measured in pips. A pip is a unit of measure used by traders to define the smallest change in value between two currencies. Low spread forex brokers offer trading accounts that have a very small difference between the buy and sell price.
How do low spread FX brokers work?
Forex brokers act as a ‘middleman’ between a trader and the exchange. However, there are typically two models they use; dealing desk trading and no dealing desk trading. Both types allow for retail traders to participate in the foreign exchange market. Below we’ve briefly explained each.
- Dealing desk trading. Brokers using this model act as a dealer and take the opposing side of a trader’s trade. This allows them to have wider spreads and the ability to control prices.
- No dealing-desk trading. Brokers offering low spreads will likely be using a no-dealing desk trading model. This gives traders direct access to the interbank market (where banks trade currencies with each other).
The best low spread forex brokers for beginners and experienced traders
There are lots of low spread forex brokers around and choosing the right one for your needs can be a difficult task. That’s why we’ve selected both the top forex brokers for beginners and experienced traders alike.
The top low spread broker for beginners
For newer traders an easy to use platform is a key requirement. Beginners will also want low fees and a broker who has a range of educational material. Click the button below to register with our top low spread broker for beginners.
77% of retail CFD accounts lose money.
The top platform for experienced traders
Traders with more experience will have a longer list of requirements. A wide range of currency pairs, technical tools and low fees will be top of that list. The broker below offers all of that and is our top recommended low spread forex platform for experienced traders.
What should I look for in a low spread trading platform?
There are a number of features that you’ll want to look for when choosing a low spread trading platform and in the section below we’ve highlighted some of the most important ones.
Low fees
Brokers who offer low spreads often charge fees and commissions as a way to make money. The best brokers not only have low spreads, but their other charges are low too. Checking out a forex brokers terms and conditions is one of the easiest ways to find out how much you will be paying each time you trade.
Reliable platform
Many traders who opt for a low spread broker do so because they either are day traders or scalpers. When placing multiple trades throughout the day, a reliable platform is of great importance. The best platforms are consistently online, don’t suffer much downtime, or crash frequently.
Large choice of currency pairs
Finding a broker with a large choice of currency pairs to trade is helpful as you’re able to spread your money across a range of pairs. Most brokers will offer the major pairs, but if you’re interested in trading the exotics, then make sure to check before joining that the broker offers them.
Technical tools
Almost all online forex brokers have downloadable trading platforms, although not all are equal in what they offer. The best platforms have a broad range of technical tools which can be easily overlaid onto price charts. Technical analysis is a popular trading method and for many traders, the use of indicators and other tools is an important aspect of trading.
Quick answers to key questions
How much are fees and commissions?
That will depend on the broker’s terms and conditions so it’s worthwhile checking the fee schedule prior to joining. It’s highly likely that a low spread broker will have other charges that you’ll need to take into account.
Do low spread brokers offer other markets?
Yes, many online forex brokers also allow you to trade other financial assets. With the rise in cryptocurrencies in recent years, lots of brokers have started to include top coins like Bitcoin or Ethereum. Other instruments you can usually trade are stocks, commodities, and ETFs. It’s always a good idea to check what’s on offer before registering.
Will I have to download software?
Not always. Most low spread forex brokers have the facility to trade directly on their websites using a web based platform. However, to get the most out of your brokers functionality, it’s a good idea to download their software, which will often have more advanced features which are especially helpful while conducting technical analysis.
Can I trade from my phone?
Yes, all the top low spread forex brokers have apps which you can download to your mobile device. However, forex mobile trading apps will likely have less features than desktop platforms. Using a mobile trading app is a great way to keep on track of your open trades while you’re out and about.
Should I use a low spread broker to trade forex?
Using a low spread forex broker is a good idea, especially if you use any day trading or scalping strategies. Using a broker is the easiest and most times, only way to trade the forex market. Low spread brokers are an excellent way to lower your costs while making trades in the forex market.
Forex trading is often fast-paced and requires some experience and a fair bit of technical knowledge. Before starting, there is a lot to learn and using the best online forex courses is a great place to get ahead.
Still undecided?
This page has already covered a lot of information, but if you are still undecided about joining a low spread forex broker, check out the pros and cons below.
Pros
- Low spread forex brokers have only a very small difference between the buy and sell price meaning your costs of trading will be lower.
- Most low spread brokers offer leverage which means you can profit from small moves in the market.
- Brokers with low spreads are ideal for day traders because you can keep your costs down while making lots of trades.
- Some low spread brokers offer copy trading facilities so that you can profit while you are still learning.
Cons
Should I trade forex now?
If you think you have the knowledge required, then yes it could be a good time to start trading now. The first thing you will need to do is register with a low spread broker which you can do by clicking on the links further up the page. It’s also a good idea to stay on top of the latest forex news and analysis.
Latest forex news
“It melts like ice” – Why the future of Argentina peso (ARS) is brisk
Czech Koruna/US dollar forecast ahead of June 2023 Fed decision
USD/INR analysis: levels to watch as the RBI leaves rates intact
Where can I learn more about forex trading?
Right here on Invezz. You can check out our forex learning hub where we have free online courses on how to trade the currency market. We also have pages on technical and fundamental analysis and many other FX-related educational materials. Click on any of the links below to learn more.
Forex trading courses
What Is Quantitative Easing and Does It Work?
What is a PAMM Account?
How to Use Forex Signals
More of the best forex rankings
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