Just figured out what spread really means, the one traders keep talking about but I didn't truly understand.

It's very simple: spread is the gap between the selling price (Bid) and the buying price (Ask) of that currency or asset. Why is there a gap? Because it's how brokers make money. If you buy EUR/USD at 1.05680 and sell immediately at 1.05672, you lose 0.8 pips. The broker profits from this difference. It's like buying gold at $500 and selling it at $501 to make a profit—that's the spread.

What you need to know is that the spread tells us how liquid the market is. In normal markets, the spread might be just 0.001%, but if you see a spread of 1-2%, it indicates the market is very cold and inactive.

There are two types you need to choose from. The first is a fixed spread, which the broker sets in advance. The advantage is that you can calculate your costs precisely, but the downside is that during volatile market conditions, the broker will requote you and block the system until you accept a new price, which is often worse.

The second is a variable spread, which changes according to actual market conditions. The advantage is no requotes, and during high liquidity times, costs may be lower. The downside is that it fluctuates frequently, making it harder for beginners and more difficult to profit from.

Which one is better depends on your trading style. Beginner traders who trade small amounts should use fixed spreads. Professional traders who trade frequently during volatile times should try variable spreads.

In summary, spread is our cost, but it also provides important information about the market. The more the spread fluctuates, the harder it is to trade. Therefore, choose a broker with stable spreads and trade major currency pairs like EUR/USD or GBP/USD, which usually have lower spreads. If you understand this well, forex trading becomes a real financial activity, not gambling.