In some platforms and brokers, the spread is shown in pips, and in others in points. Volity shows in points.
Spread is the difference in pips between the current Ask price and the Bid price of a particular trading instrument. Point is the minimum value of price change (5th decimal), while pip is the value of price change (4th decimal).
A pip equals 10 points.
Example:
If the Bid price of USDCAD is 1.26586 and the Ask price is 1.26600
Spread = (Ask price - Bid price)/Pip size
Spread = (1.26600 - 1.26586)/0.0001 = 1.4 pips
We offer our clients the flexibility to trade various instruments with variable spreads.
We wish you successful trading with Volity !
