US based forex broker FX Solutions introduces a new and interesting initiative for U.S. customers: 0.8 pips for EUR/USD and 1 pip for 3 additional popular pairs. These spreads are available on both the MetaTrader 4 platform as well as the GTS one.
James Chen recently returned to FX Solutions. It will be interesting to see if other brokers react to this move. Here are more details from the official press release:
SADDLE RIVER, NJ – (November 19th, 2012) – FX Solutions LLC, a leading retail foreign exchange (forex) dealer and part of the City Index group of companies, today announced the launch of capped variable pricing for its U.S. customers.*
The new pricing is available on the MetaTrader4 (MT4) and GTS trading platforms across 28 forex pairs. Customers can trade on spreads as low as 0.8 pips on EUR/USD and 1 pip on GBP/USD, USD/JPY and AUD/USD.
The pricing aims to move in sync with the underlying market, potentially providing tighter spreads as liquidity improves. A ‘cap’ or ‘limit’ is placed on the spread with the intent of restricting it from widening more than the listed cap level.
In the opinion of FX Solutions, the ‘cap’ provides advantages over other variable spread providers, whose spreads, without a ‘cap’, can widen excessively around economic events. Using Capped Variable Pricing, FX Solutions customers can trade more efficiently with potentially lower spreads.
Capped Variable Pricing is the latest addition to FX Solutions’ U.S. offering and follows the expansion of its market analysis and forex education capabilities with the recent appointment of Chief Technical Strategist, James Chen.