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January 24, 2018

Question:Why do the positions I open always start with a loss?

Answer:

The loss you are seeing is the spread.

The spread is the difference between the Buy and Sell prices of a specific asset.

Once the market passes the spread amount in the direction of your newly opened position, you will see the profit.

2 Way Prices on MT4

MT4 trading platform’s Market Watch window shows 2 prices for each symbol, and the difference of these prices is the “Spread”.

Although, if you look at a price chart, you may see only one price moving up and down, which is the Bid price(sell price).

The Ask price(buy price) is somewhere above the Bid price. It can be shown on the chart by changing the chart setting.

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