Raw VS Standard

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Hello,

I am wondering if it is more profitable for me to use a standard account with 0$ commission but with standard spreads form 0.8 pips.

Or 

A raw account with 3.5$ commission per lot, but spread from 0.0 pips.


I dont really know how to tackle this question I hope maybe one of you can.

 
Boris-Sonder:

Hello,

I am wondering if it is more profitable for me to use a standard account with 0$ commission but with standard spreads form 0.8 pips.

Or 

A raw account with 3.5$ commission per lot, but spread from 0.0 pips.


I dont really know how to tackle this question I hope maybe one of you can.

You end up "paying more" on the standard account with zero comission because the spread size costs you more than the fixed comission value.

For example, you want to trade 1 lot on EURUSD where 1 pip has the value of 10$, let's consider minimum spread for this calculation:

Raw account: you will pay 7$ to open and close the trade with 0.0 spread - final price 7$

Standard account: you will not pay any comission, but your price will be 0.8 pips worse when opening and 0.8 when closing the trade, that's 8$ + 8$ = 16$

 

You need to ask your broker specifically. Some brokers’ standard

accounts can waive overnight interest and rebates.

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