Despite a clear preference for high-frequency trading, to date there are no zero-spread brokers in the United States。

Today, many traders are looking for zero spread brokers because the particular account they offer has no difference between the bid and ask prices。This type of account allows us to more accurately determine entry and exit levels, while avoiding the trap of wide spreads, making it more difficult for us to reach our goals。

Zero spread brokers are ideal for high-frequency automated trading, scalping and intraday trading.。In addition, news traders seeking the thrill of profit during the release of basic data may benefit from their minimal spreads and soar。In a normal trading account, the peak spread during such an event can be as high as tens of points in a few seconds。

Still, zero spread brokers have drawbacks。On the one hand, brokers may tout "zero spread" as a purely marketing term。At the bottom of the trading agreement or terms and conditions document, they will write in small font "Spreads may fluctuate during periods of market volatility."。Traders should be aware of this tricky strategy。

On the other hand, brokers who truly offer zero spread accounts may seek alternative payments in a variety of other ways。Some examples are higher commissions, less leverage, higher initial deposit requirements, higher delays (slower execution speed), stricter mandatory closing levels, etc.。

There are also zero spread brokers offering zero spreads at no additional cost。However, they are trading desk brokers and do not send their clients' positions to the open market (liquidity providers)。

So, how do we tell if a zero spread broker's offer is true?？Most traders will look at the broker's regulations and licenses。The stronger the license, the higher the likelihood of a true zero spread quote。

Some of the safest spread brokers are from Australia, such as Pepperstone and IC Markets; others hold European or UK licenses, such as Tickmill, Exness and XM。

To date, there are no zero-spread brokers in the United States。US forex brokers are generally adept at trading techniques and can offer superior execution speed and advanced trading tools through proprietary trading platforms。However, US forex brokers are unlikely to market low fees and low spreads。

Most zero-spread forex brokers have offshore licenses, which is where traders need to think carefully。Some offshore brokers have been in business for more than a decade and have a sufficient reputation, but others deliberately offer low-cost trading accounts to attract novice traders.。

In short, before joining any zero spread broker, you need to carefully check the following:

• Permits and legal documents
  Total transaction costs, including commission fees, swap fees and deposit / withdrawal fees。
  Leverage and deposit requirements
  Forced closing level
  Execution speed
  In addition, you should also ensure that the zero point spread applies to all currency pairs or only to certain currency pairs。

Zero spreads are of course good, but don't forget to check the spreads of other brokers to see which one is best for you。

All in all, remember that there is no such thing as a free lunch。To get something, we sometimes have to sacrifice something else。Clarify your priorities before filling out the registration form for the selected Forex broker。