Quotations by Banks and Brokers

 On your trading platform you will observe Quotes like this

EXAMPLE of USDZAR

when you buy quotes differ compared to when you sell. this is because Brokers edited the quotes so that they can charge you commissions for using their services.  

Both these buy and sell Quotes are higher than the original Quotes set by Banks. Banks set Quotes, then Brokers Modify the quotes.

Original Quotes

on Google you can see current value of a currency compared to another. Value you see on google is original value set by Banks. on a Trading Platform the value will be higher as brokers charge commissions.

Banks says 1 USD equals to 17,10. but broker says 1 USD equals to 17.1233 when i sell and is 17.1433 when i buy

Calculations

Sell price - original price

17.1233 - 17,10 = 0.0233

the 0.0233 is commission for brokers when you choose to sell. it will differ when you buy.

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selling and buying price has more decimals than original price. those decimals are called pips.