Forex spread is the transaction cost of a trading for the forex trader and the commission or service charges for a broker. It is the difference between the Bid and Ask price of a trading commodity or a currency pair.
A currency pair comprises on two currencies i.e. base currency and counter or quoted currency. Base currency is valued in terms of other currency by using the exchange rate. The base currency at all times equal to one.
In the case of currency pair EUR/USD = 1.3651
Forex Education - Basics:
Free Forex eBooks:
Forex Education - FX Brokers:
Forex Education - Technical Analysis:
Forex Education - Money Management:
Forex Education - Psychology:
Forex Education - Others:
Forex Interbank Trading: