Dear community members,
This guide provides step-by-step instructions on where to find commission information and how to calculate commission costs for different trading scenarios.
Where to Find Commission Information
1. Accessing Market Watch:
- Open your trading platform and navigate to the Market Watch window.
- Right-click on the instrument (currency pair or asset) you are interested in.
- Select “Specifications” from the context menu.
2. Locating Commission Rates:
- In the Specifications window, scroll down to find the commission rate for the selected instrument.
Calculating Commission
To calculate the commission, you must convert the traded volume of the underlying asset to its USD volume and then calculate the percentage. It is important to note that the commission is displayed after the position is closed, and it is charged both when opening and closing deals.
Formula:
Steps:
- Determine the contract size, volume, and price of the trade.
- Find the Profit Currency Exchange Rate to USD
- Use the formula to calculate the total commission.
Please note that the percentage displayed in the symbol specification is multiplied by the USD volume. If you are unsure about the calculation, we recommend opening the trade in a demo zero spread account first.
Examples
Example 1: EUR/USD Trade
- Trade Details:
- Instrument: EUR/USD
- Volume: 0.1
- Price: 1.07060
- Commission Rate: 0.0045%
- Quote Currency Exchange Rate to USD: 1 (since the quote currency is USD)
- Total Traded Volume: 0.2 (0.1 for opening + 0.1 for closing)
- Contract Size: 100,000
- Calculation:
Commission=(100,000×0.2×1.07060×1×0.0045)(100)=0.96
Example 2: BTC/ETH Trade
- Trade Details:
- Instrument: BTC/ETH
- Volume: 1
- Price: 17.87571
- Commission Rate: 0.1%
- Quote Currency Exchange Rate to USD: 3437.860331 (since the quote currency is ETH)
- Total Traded Volume: 2 (1 for opening + 1 for closing)
- Contract Size: 1
- Calculation:
Commission=1×2×17.87571×3437.860331×0.1/100=122.908 (Slight difference because of exchange rate fluctuation)
Disclaimer: This information is provided for educational purposes only and should not be considered financial advice. Always consult with a qualified financial advisor before making any trading decisions
We hope this helps. If you have any questions, please visit our Help Centre or contact us via Live Chat and WhatsApp.