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Low Spread Forex Brokers 2024

Inexperienced forex traders will often focus on the commission when assessing fees. But the spread is equally as important, as this is an indirect fee charged on both buy and sell orders.

In this guide, we reveal the nine best low spread brokers for 2024. Not only do we rank brokers based on average spreads, but also commissions, payment types, supported markets, leverage limits, and much more.


In forex trading, a spread represents the difference between the buying and selling prices of a currency pair. It is measured in pips and serves as a key factor influencing trading costs.

There are multiple types of spreads, including fixed, variable, raw, and zero. Narrower spreads are generally considered more favorable for traders. In today’s article, we’ll take a look at the best low spread forex brokers in 2024. Tighter spreads contribute to lower trading costs and affect your profitability.

Low spread Forex brokers can charge you extra expenses with commissions or services. Choosing a reliable broker is crucially important when choosing a broker with low spreads.

Forex brokers offer different account types with zero spreads to promote their services and keep the trading environment active. If you are looking for a low spread-no commission forex broker, low spread forex brokers that allow scalping or a broker with literally zero spreads, you are in the right place!

Let’s compare the impact of trading with Tickmill and Dukascopy, focusing on the EUR/USD (commissions included).

  1. Tickmill: Spread for EUR/USD = 3.50 pips
  2. Dukascopy: Spread for EUR/USD = 7.00 pips

For this example, let’s assume:

  • Trade Size: 1 standard lot (100,000 units of base currency)
  • EUR/USD Rate: 1.2000 (for simplicity)

Tickmill (Lower Spread)

  • Buy Price = 1.2000
  • Sell Price = 1.2000 + 3.50 pips = 1.20035
  • Spread Cost = 3.50 pips = $35 (3.50 pips * $10 per pip)

Dukascopy (Higher Spread)

  • Buy Price = 1.2000
  • Sell Price = 1.2000 + 7.00 pips = 1.20070
  • Spread Cost = 7.00 pips = $70 (7.00 pips * $10 per pip)

Result: Trading with Tickmill saves you $35 per trade in spread costs compared to Dukascopy.

How trading with a low spread forex broker impacts your profit and loss?

Assume you expect the EUR/USD to rise. You buy 1 lot at the ask price and later sell it at a higher rate.

Tickmill (Lower Spread)

  • Buy at 1.20035, sell at 1.20135 (gain of 10 pips)
  • Gross Profit = $100 (10 pips * $10 per pip)
  • Net Profit after Spread = $100 – $35 (Spread Cost) = $65

Dukascopy (Higher Spread)

  • Buy at 1.20070, sell at 1.20170 (gain of 10 pips)
  • Gross Profit = $100 (10 pips * $10 per pip)
  • Net Profit after Spread = $100 – $70 (Spread Cost) = $30

In a profitable trade scenario, your net profit is higher with Tickmill due to the lower spread cost. The higher spread at Dukascopy significantly reduces the net gain.

Reasons to choose a low spread forex broker:

  • Cost Efficiency: Lower spreads mean lower trading costs, which is particularly beneficial for strategies involving frequent trading (like scalping or day trading).
  • Break-Even Point: A lower spread means you reach the break-even point faster. For instance, in the above scenarios, the market needs to move less in your favor to cover the cost of the spread with Tickmill compared to Dukascopy.
  • Impact on Profitability: For profitable trades, a lower spread increases net profits, as seen with Tickmill. Conversely, for losing trades, a lower spread reduces the overall loss.

Charges Related to Spreads

Commissions

Commission based pricing is a fee structure in which traders pay a separate commission for each trade. Most of the no spread brokers rely on commissions for revenue.

Commissions are typically the fixed amount per lot or percentage of the trade’s notional value.

  • It’s crucial for traders to consider both spreads and commissions when evaluating the total cost of trading. While a broker may offer low spreads, high commission rates can offset potential savings. Conversely, a broker with wider spreads but lower or no commissions might be more cost-effective for certain trading styles.
  • Evaluating total trading costs provides a comprehensive view, allowing traders to choose a broker that aligns with their trading strategy and frequency. High-frequency traders, for example, may prefer low spreads and a commission-based structure to optimize cost efficiency.

Finding a broker with low spread-no commission forex broker is like looking for a needle in a hay stack. Should you be looking for a low spread no commission forex broker? Probably not.

Would you trust a broker that doesn’t make any money with spreads and commissions? While I could give you examples like ARON Groups or Evolve Markets, let’s be reasonable and not forget the most important factor when choosing a broker, which is reliability.

Both ARON Groups and Evolve Markets are unregulated brokers and, in my opinion, should not be trusted. However, it is at your own risk.

Swap Rates

Overnight interest rates, as known as swap rates refer to the cost of borrowing or the return on investment for a financial instrument held overnight.

For financial institutions and traders, borrowing money overnight is a common practice to finance trading positions. The overnight interest rate directly affects the cost of this borrowing.

Overnight rates can influence currency values. Higher rates in one country can attract foreign capital seeking higher returns, leading to an appreciation of the currency. Conversely, lower rates may result in currency depreciation.

Choosing a Low Spread Forex Broker

Choosing a low spread forex broker is crucial for traders as it directly impacts trading costs. You should look for brokers that provide clear information on their website regarding spreads.

Different account types may have different spreads. Evaluate which account suits your trading style. Many brokers offer demo accounts. Use these to experience actual trading conditions and evaluate spreads.

Be careful about the additional charges. Check overnight financing costs (swap rates) if you plan to hold positions overnight. Some brokers charge commissions in addition to spreads. Consider the overall cost.

Choose brokers regulated by reputable authorities. Some brokers may promise unrealistic conditions, such as no spread and no commission. Keep in mind that reliable regulators demand brokers to keep their clients’ money in segregated accounts. This way, even if the broker gets into trouble, your funds will be safe.

For scalpers, tight spreads are crucial. Look for brokers that offer low spreads and minimal slippage. Swing traders should consider brokers with competitive spreads, as holding positions for a longer duration can accumulate higher costs with wider spreads.

Exotic pairs often have higher spreads. Consider the instruments you plan to trade.

Remember that the “best” broker may vary for each trader based on individual needs and trading styles. It’s essential to strike a balance between low spreads and other factors like reliability, customer service, and regulatory compliance.

Low Spread Forex Brokers List for 2024

This list has been prepared according to my experiences and the information I found online. Please do not forget that a cheap broker isn’t always the best broker. Sometimes, you have to make sacrifices from your profits to be safe, and it’s just a tiny bit for this occasion. Believe me, all of these brokers are hand-selected and reliable.

logo fxpro, fxpro logo vector, fxpro logo png, fxpro logo
Low

Spreads

$100

Minimum Deposit

1:30

Leverage

FCA, CySEC, DFSA, SCB

Regulation

9.0
Low

Spreads

$5

Minimum Deposit

1:1000

Leverage

ASIC, CYSEC, IFSC

Regulation

8.9
Low

Spreads

$10

Minimum Deposit

Unlimited

Leverage

CySEC, FSA, CBCS, FSC, FSCA, CMA, FCA

Regulation

8.3
HF Markets, HF Markets Logo, HF Markets logo png
Tight

Spreads

$0

Minimum Deposit

1:2000

Leverage

FSC, CySEC, FSA Seychelles, FSCA, DFSA, FCA

Regulation

8.4
tickmill no deposit bonus
Low

Spreads

$100

Minimum Deposit

1:500

Leverage

FCA, CySEC, FSCA, SCB

Regulation

8.1
fxtm logo png, fxtm logo,
Low

Spreads

$10

Minimum Deposit

1:1000

Leverage

CySEC, FCA, FSCA, FSC

Regulation

8.1
Low

Spreads

$0

Minimum Deposit

1:400

Leverage

ASIC, FCA, DFSA, BaFin, CMA, SCB, CySec

Regulation

8.0
Low

Spreads

$100

Minimum Deposit

1:500

Leverage

ASIC

Regulation

7.9
Infinox forex logo, infinox forex logo png
Low

Spreads

$50

Minimum Deposit

1:300

Leverage

FCA

Regulation

7.8
finmax forex, finmax forex broker, finmax logo, finmax logo png
Low

Spreads

$250

Minimum Deposit

1:200

Leverage

IFMRRC

Regulation

7.8
Hantec global review
Low

Spreads

$10

Minimum Deposit

1:500

Leverage

FCA, JSC

Regulation

7.6
Dukascopy-logo
Tight

Spreads

$100

Minimum Deposit

1:200

Leverage

FINMA, FCMC, FCA, JFSA

Regulation

7.3