Using IB for Forex?

Hi

I currently use IB to trade futures (es, er2, nq etc...) and now after a period of study I want to start trading forex when these markets are closed however I really don't want to set up a specific account coz that would split my funds. Anyway, does anybody use IB to trade forex? How competitive are their spreads? Is this a viable option?

Tnx in advance for any help

The spreads are very competitive and the markets relatively honest compared with the bucket shops. The banks sitting as market makers will obviously seek advantage but you can split the bid/ask and scalp to your heart's content.

Enjoy

Spreads are often 0 on the likes of EUR / USD. Bear in mind that the spread is not determined by IB as they are not a bucket shop or spread betting company they just reflect the true market in terms of bid and ask. The only issue is that you cannot trade 24 hours as you can with some but in my view they are good for currency trading.


Paul

elsaQ said:

Hi

I currently use IB to trade futures (es, er2, nq etc...) and now after a period of study I want to start trading forex when these markets are closed however I really don't want to set up a specific account coz that would split my funds. Anyway, does anybody use IB to trade forex? How competitive are their spreads? Is this a viable option?

Tnx in advance for any help

Click to expand...

If you trade CME Stock Index futures you probably want to try CME FX futures, they also trade on Globex.

Try the EUR/USD cross (IB symbol 'EUR'). Every pip is worth $12.5 dollars.
or CHF, every pip is worth $10 dollars i think. GBP is $6.25 per pip.

EUR,CHF and JPY trade with a 1 pip spread on Globex. GBP is about 2 pips.

Margin with FX futures is less than Spot FX after 1:20pm on IB. So if you want to trade FX and SIFs at the same time you need to put up less margin after this time if you use FX futures.