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spread become longer when news of forex in General Forex Discussion_6825f0acc9f09

spread become longer when news of forex

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Vernalta

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when it widens it's best not to do anything else
#301 - May 30, 2023, 12:51:04 AM

Ikhtiar

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On some occasions, brokers or liquidity providers may change their rules when there is important news. For example, they can add restrictions on trades, widen spreads, or temporarily stop order execution.
#302 - May 30, 2023, 12:53:10 AM

Kardel Sharpeye

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During news events, the spread in the forex market can widen significantly. This occurs because high-impact news releases attract increased trading activity, leading to higher volatility and liquidity fluctuations. Brokers may widen spreads to account for the heightened risk and market uncertainty during these times. As a result, traders may experience higher transaction costs when executing trades. It is important for traders to be aware of the potential spread widening during news events and consider adjusting their trading strategies accordingly. Monitoring economic calendars and utilizing appropriate risk management techniques can help navigate the impact of widened spreads and minimize the potential adverse effects on trading positions.
#303 - June 02, 2023, 04:41:55 AM

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spread become longer when news of forex in General Forex Discussion_6803a6c52eb12
#304 - Today at 08:42:17 AM

aphelion

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Yes, spreads can become longer when news is released in the forex market. When a major news event is released, the market can become volatile as traders react to the news, causing spreads to widen. This is due to a sudden increase in volatility, which can lead to significant price fluctuations and an increased spread.
#304 - June 02, 2023, 05:27:49 AM
« Last Edit: June 06, 2023, 04:17:53 PM by Admin »
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