Caculation of spread

[boilerplate]

Hi, This morning Australian time, the spread on AUD/USD went from aprox. 0.6 to 6.6 almost instantly while I was in the middle of trade on the demo platform, which immediately stopped me out because the sell price change. Is such behaviour normal or a factor of using the demo account? Also, if the middle price indicative of the exchange price? I realise that it's a derived price.

Thanks,

Bruce.

[KoketsoIG]

6 hours ago, boilerplate said:

Hi, This morning Australian time, the spread on AUD/USD went from aprox. 0.6 to 6.6 almost instantly while I was in the middle of trade on the demo platform, which immediately stopped me out because the sell price change. Is such behaviour normal or a factor of using the demo account? Also, if the middle price indicative of the exchange price? I realise that it's a derived price.

Thanks,

Bruce.

Hi @boilerplate,

Welcome to the community!

Please note that spreads are subject to variation, especially in volatile market conditions. Our quotations are derived from quotes in the underlying market available to us from the banks and liquidity providers with which we trade. We monitor the liquidity available in the underlying market, offering our minimum spread when the market spread is particularly small. In most other conditions, our typical spread applies. If spreads move wider in the underlying market, we may match this. We do not apply any weighting or biases to our pricing sources.

Thank,

KoketsoIG