TradeProofer has just released its March Broker Spread Report in order to give traders a deeper insight into forex brokers' spread behavior. TradeProofer is a community where forex traders can benchmark community members' quotes and trade executions to spot price/quote discrepancies. 

As a by-product of our services we dispose over a large amount forex broker spread data which we continuously analyze. We visualized spread value distribution charts of more than 100 brokers in March, we compared 55 forex brokers’ results with the February data and we will share our most interesting charts below. They can serve as valuable information for traders regarding how brokers’ spreads change over longer period of time.

Since EURUSD is the most traded currency pair, we summarized our key findings regarding this instrument here: 
  • In March, the least competitive forex brokers offered approximately 9 times wider spreads than the most competitive ones, while this value was only around 7 in February. Generally, the most competitive forex brokers’ spreads became more competitive, while least competitive brokers’ spread values were practically unchanged, therefore the discrepancy between the the two groups increased.
  • It’s worth noting that fixed spread brokers tend to operate in the least competitive segment of the market, hence the spread stability on the low-end.
  • Out of 55 forex brokers, 43 decreased its spreads, 5 of them left it unchanged and 7 of them provided worse spreads in March than in February. Good news for traders that spreads decreased on average 16.15% from February to March. All in all, March was a less volatile month than February (not to mention January).
  • Brokers with the most significant spread value decrease provided 61.80% tighter spreads on average than in February. Brokers with the most significant spread value increase, provided 15.58% wider spreads than in February. 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these securities. You should do your own thorough research before making any investment decisions. TradeProofer does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Forex involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

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