Massive Spread on MT5 demo account.

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Hey guys I'm a noob to FX and downloaded MT5 to goof off with a demo account. 

After researching I hear other people and broker websites talking about spreads of 3.  In MT5 on my demo account the spread is usually around 24.  Is this correct or can I change it?  Whats the point of a "demo" account if it doesn't have accurate trading perimeters?

Thanks

 
fathogg62:

Hey guys I'm a noob to FX and downloaded MT5 to goof off with a demo account. 

After researching I hear other people and broker websites talking about spreads of 3.  In MT5 on my demo account the spread is usually around 24.  Is this correct or can I change it?  Whats the point of a "demo" account if it doesn't have accurate trading perimeters?

Thanks

it is 24 points ~ 2.4 pips
 

oh I see.  I also have the Oanda app

Here's the comparison in Bid and ask

Eur/Usd

MT5: 1.38497/1.38521

Oanda: 1.38501/1.38512


MT5 is still much higher.  Can you explain why to me?

 
fathogg62:

oh I see.  I also have the Oanda app

Here's the comparison in Bid and ask

Eur/Usd

MT5: 1.38497/1.38521

Oanda: 1.38501/1.38512


MT5 is still much higher.  Can you explain why to me?

Oanda spread is lower.
 
So do you trade using MT5?  What would be the benefit of this if there are lower brokers out there?  Sorry for the stupid questions
 
fathogg62:
So do you trade using MT5?  What would be the benefit of this if there are lower brokers out there?  Sorry for the stupid questions

yes. I do trade in MT5 and MT4 depends if I need hedging.

Lower spread means more profit. 

 
I understand lower spreads means more profit, so wouldn't that make you want to trade with brokers that have lower spreads instead of metatrader?
 
fathogg62:
I understand lower spreads means more profit, so wouldn't that make you want to trade with brokers that have lower spreads instead of metatrader?

if you need to do automated trading then you have to use something like metatrader.

else you can use any other. 

 
fathogg62:
I understand lower spreads means more profit, so wouldn't that make you want to trade with brokers that have lower spreads instead of metatrader?

The spread doesn't depends of the platform (MT4 or MT5), it is set by the broker. There is broker who provides very low spread both in MT4 and MT5. However, the spread is not the only parameter to take into account. Execution time, slippage, instant vs market execution are some others important parameters.

See also this topic Floating spread or fixed spread ?

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