Low-spread forex brokers are essential for cost-efficient trading, especially for scalpers, day traders, and high-frequency systems. A tight spread—the difference between bid and ask prices—directly affects trade profitability, especially in short-term strategies. This article provides a verified list of forex brokers with low spreads, based on live pricing data, regulatory status, and trader reviews in 2025.
What Are Low Spreads in Forex?
- Major pairs (EUR/USD, GBP/USD): 0.0 – 0.8 pips
- Minor pairs (EUR/JPY, AUD/NZD): 0.5 – 1.5 pips
- Exotic pairs: Typically 1.5 – 3.0 pips
Raw spread accounts offer 0.0 pips but charge commissions, while standard accounts embed fees in wider spreads.
Top Forex Brokers with Low Spreads (2025)
1. IC Markets
- Spreads:
- Raw Account: 0.0 pips (EUR/USD)
- Standard Account: 0.6 pips
- Commission: $3.5/side on Raw
- Platform: MT4, MT5, cTrader
- Regulation: ASIC, CySEC, FSA
- Why It’s Top Rated:
- True ECN pricing
- Ideal for scalping and algo trading
- Deep liquidity and low latency
2. Pepperstone
- Spreads:
- Razor Account: 0.0–0.3 pips (EUR/USD)
- Standard Account: ~0.8 pips
- Commission: $3.5/side (Razor)
- Platform: MT4, MT5, cTrader, TradingView
- Regulation: FCA, ASIC, CySEC, CMA
- Best For:
- Fast execution
- Scalpers and EA users
- Global traders seeking institutional-grade pricing
3. Tickmill
- Spreads:
- Pro Account: 0.0 pips
- Classic Account: ~1.6 pips
- Commission: $2/side (Pro Account)
- Platform: MT4, MT5
- Regulation: FCA, CySEC, FSCA
- Highlights:
- Low trading costs
- Fast execution with VPS access
- Strong FSCA presence for African clients
4. FP Markets
- Spreads:
- Raw Account: 0.0 pips
- Standard Account: ~1.0 pips
- Commission: $3/side (Raw)
- Platform: MT4, MT5, IRESS
- Regulation: ASIC, CySEC
- Why It’s Included:
- Low-cost raw spread model
- Multi-asset trading with fast execution
5. Fusion Markets
- Spreads:
- Zero Account: 0.0 pips (EUR/USD avg 0.12)
- Classic Account: ~0.9 pips
- Commission: $2.25/side
- Platform: MT4, MT5
- Regulation: ASIC, VFSC
- Unique Feature:
- Among the lowest commissions in the industry
- Transparent pricing, no markup
Comparison Table: Low Spread Forex Brokers
Broker | Spread From | Commission Per Side | Platform | Regulation | Ideal For |
---|---|---|---|---|---|
IC Markets | 0.0 pips | $3.5 | MT4, MT5, cTrader | ASIC, CySEC, FSA | Scalping, automation |
Pepperstone | 0.0 pips | $3.5 | MT4, MT5, cTrader | FCA, ASIC, CySEC | Fast execution |
Tickmill | 0.0 pips | $2.0 | MT4, MT5 | FCA, FSCA, CySEC | Low commission traders |
FP Markets | 0.0 pips | $3.0 | MT4, MT5, IRESS | ASIC, CySEC | Multi-asset trading |
Fusion Markets | 0.0 pips | $2.25 | MT4, MT5 | ASIC, VFSC | Lowest-cost traders |
Factors That Affect Spread Size
- Liquidity of currency pair: Major pairs (EUR/USD, GBP/USD) have lower spreads
- Time of day: Spreads widen during rollover and low-volume hours
- Broker execution model: ECN and STP offer lower spreads than market makers
- Account type: Raw/ECN accounts offer tight spreads plus commission
- Volatility: Economic news and geopolitical events can spike spreads temporarily
Key Takeaways
- IC Markets, Pepperstone, and Tickmill consistently deliver the lowest spreads in 2025
- Raw spread accounts are cheaper long-term despite added commissions
- Fusion Markets is the best value broker with ultra-low fees and institutional liquidity
- Spreads vary with market conditions—always test brokers during your trading hours
- Use MT4/MT5 market watch to monitor real-time spread data before entering trades
Frequently Asked Questions
What is considered a low spread in forex?
A low spread is typically 0.0 to 0.6 pips on major pairs like EUR/USD using an ECN account.
Which broker has the tightest spreads?
IC Markets and Pepperstone are often the lowest, with raw spreads from 0.0 pips and deep liquidity pools.
Are raw spread accounts better than standard?
Yes. Raw accounts offer tighter spreads with a commission, resulting in lower total trading cost for frequent traders.
Can spreads change during news events?
Yes. Spreads widen during high-impact news due to volatility and lower liquidity.
Which broker is best for low spread scalping?
Pepperstone and IC Markets are ideal due to fast execution, low latency, and raw ECN pricing.
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