While the major currency pairs and even some crosses have decent spreads, some of the more exotic currency pairs can have wide spreads, creating a large deficit as soon as you enter a trade. Make no mistake though, the spread on some of the less-liquid currency pairs can be significant and should certainly be considered before taking a trade, even when trading the higher time frames. Brokers take the profits who handle the transaction. Who Benefits from the Bid-Ask Spread? It also indicates the transaction costs. The meaning of the quote is that one Euro is worth 1.
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