Among other things to ensure the best experience in trading AUD/USD is the spread. Which broker has the best spread for AUD/USD?
The forex market has hundreds of currencies to trade with. Among many of those, there are several pairs that become traders' favorites including AUD/USD. In fact, the Australian Dollar/US Dollar currency pair is the fifth-most traded currency in the global foreign exchange market. That is an amazing fact considering that Australia is only the 14th largest country in the world in terms of GDP and the 50th largest in terms of population. The Reserve Bank of Australia (RBA) is very serious in its endeavor to curb inflation, therefore they tend to keep the rates comparatively high among other major central banks. This is one of the reasons why a lot of traders prefer AUD/USD.
Why Should You Trade AUD/USD?
The Australian dollar is often seen as a growth-linked currency, much like the Canadian Dollar or the New Zealand Dollar. Due to the nature of Australia's huge raw materials exports, the currency can be sensitive to the movement of commodity prices. That means, traders can easily analyze the Australian Dollar through the commodity market in addition to technical methods. But that isn't the only benefit of trading AUD/USD.
See Also: Best Forex Brokers in Australia
For traders, the liquidity of a forex pair is very important. A market's liquidity has a big impact on how volatile the market is. Lower liquidity usually results in a more volatile market and causes prices to change drastically. Luckily, AUD/USD is one of the most liquid currency pairs in the forex market, so there will be less slippage, lower costs, and deeper market depth.
2. Economic Stability
Another reason why trading AUD/USD is highly beneficial for traders is that Australia has proven to have great economic stability. In fact, the Australian economy surges through exports and commodities whilst retaining a solid monetary policy with its central bank. It even managed to grow year on year while other countries have suffered due to the global economic downturn. Obviously, trading with a more stable currency could protect them against volatility risks in the forex market.
Spread is another factor traders tend to consider when choosing a forex pair. A bigger spread means that traders would pay more when losing and receive less when winning. This is why most traders would opt for an instrument with a lower spread. Since AUD/USD is a widely traded forex pair, that means it can have a relatively narrow spread for retail traders. Obviously, it can highly reduce the cost trader have to spend for trading.
4. Research and Resources
The Australian Dollar has a wide range of resources available. There are countless websites and forums that offer market overviews and analyses on AUD/USD. Traders can use any indicator to analyze the price movement of this pair. That means there are plenty of features traders can use to assist them in analyzing the market and deciding which strategy works best.
Trade AUD/USD With the Best Spread
AUD/USD is a popular currency pair to trade with, therefore there are countless brokerages offering it. However, not all those brokers provide the best possible conditions for traders. For example, the spread can be extremely high and this can add to the trading costs. Here are some of the best brokers with low spreads for AUD/USD.
1. IC Markets
When it comes to forex trading, IC Markets is one of the best brokers most traders think of. The main reason is that this broker provides super-tight spreads for most instruments, including AUD/USD. Due to their mix of liquidity providers, IC Markets managed to give traders the best spreads in each platform including MT4, MT5, and cTrader. This also makes sure that the spreads will remain tight and the liquidity deep for 24/5 no matter what the market conditions are.
The AUD/USD currency pairs are available in both raw account and standard account. In the standard account, the minimum spread for this pair is 0.6 minimum with an average of 0.77 pips spread. On the other side, the minimum spread of the raw account is 0 and the average is 0.17 pips. For traders who are looking to reduce their trading costs, IC Markets raw account is a great choice, especially because the commission fee is only AUD0.07 per round turn. That alone makes IC Markets one of the best brokers for AUD/USD.
IC Markets is an online forex broker operating under the company of International Capital Markets Pty Ltd. Traders under the Australian jurisdiction are provided with the trading service of IC Markets AU that is headquartered in Australia and licensed by the Australian Securities and Investments Commission (ASIC).
On the other hand, non-Australian traders who open an account in this broker are registered under IC Markets SEY that is based in Seychelles, and regulated under the Seychelles Financial Services Authority (SFSA). The dual operation is a result of the relatively new rules from ASIC that prohibit their regulated broker to offer trading services outside Australia.
Classified as an ECN broker, IC Markets provide clients with MetaTrader 4, MetaTrader 5, cTrader as platform trading options. This broker also follows market trends to include Cryptocurrencies as one of its products, enriching its already wide selection of trading assets that include Currencies, Indices, Metals, Energies, Softs, Stocks, as well as Bonds.
The minimum deposit in IC Markets is in the middle range compared to other ASIC-regulated brokers, as it reaches $200 for every client. Market analysis materials are also prepared regularly for trading insights on IC Markets's official website, proving their competence to serve their traders with important contents created by market experts that work specifically for them.
For payment methods, IC Markets allows funding and withdrawal via wire transfer, credit card, PayPal, Skrill, Neteller, FasaPay, UnionPay, as well as Bitcoin via BitPay. The more interesting aspect from this broker is its multi-base currencies that include USD, AUD, EUR, GBP, SGD, NZD, JPY, CHF, HKD, and CAD.
As the trading technology in IC Markets is highly equipped with co-located servers and extremely low latency (especially on cTrader), the broker is widely known for its capability in hosting traders with the special needs for high-frequency trading as well as scalping.
To sum up, IC Markets is a fitting destination for active traders looking for a well-regulated broker. IC Markets is also flexible in terms of base currency and payment methods, signaling their commitment to welcome traders beyond their home country. As of late 2019, IC Markets provided their website in 18 international languages including English, Korean, Indonesian, French, Spanish, Italian, Malay, German, and Chinese.
Admirals is another great broker for AUD/USD trading. To start, this broker provides two account types for traders that are both available in MT4 and MT5. In the standard account, the spread for AUD/USD is USD 0.00001 with the typical spread of USD 0.0001. In the zero accounts, the minimum spread is pretty much similar, but traders will need to pay a commission fee of USD6 per round turn. Traders can start trading with just AUD100 in Admirals, which makes them one of the most recommended brokers for AUD/USD trading.
Pepperstone uses multiple liquidity providers from tier 1 banks and institutions to make sure their traders get the best price in any currency pair, including AUD/USD. This broker is widely known for its razor spread, at which traders can get 0 minimum spreads and 0.17 average spreads in AUD/USD. The commission for this type of account is fairly low, only AUD0.08 per round turn.
FXCM (Forex Capital Markets) is a brand name of a retail broker for trading on the financial market, especially the foreign exchange market. The broker was founded in 1999 and was originally headquartered in the United States. After a series of lawsuits from customers and case settlements by the US regulator (CFTC), FXCM moved from the US and became a UK-based broker, authorized and regulated by the Financial Conduct Authority (registration number 217689).
During 20 years of experience in the forex industry, there are about 2 million traders choosing Alpari as the broker to trade with. Alpari has a head office on the 5th Floor, 355 NEX Tower, Rue du Savoir, Cybercity, Ebene 72201, Mauritius. The company is regulated in St.Vincent and the Grenadines (the licensed number is 20389 IBC 2012), IFSC Belize (the licensed number is IFSC/60/301/TS/18).
This broker uses MetaTrader 4 and MetaTrader 5, both of which offer great flexibility, charting tools, and an easy-to-use interface. For higher volumes, the company also provides the Alpari International Direct platform which offers enhanced features for advanced investors.
The company offers an array of live trading accounts to choose from. Each one offers different opportunities and allows traders to trade in different ways. All of their accounts use USD, EUR, GBP, and NGN as the options for base currency. But, NGN accounts are only available to clients in Nigeria.
Each kind of account has a different spread. At Standard Account provides spreads from 1.2, the spread of Micro Accounts is from 1.7, and ECN Account and Pro Account have spread from 0.4. A trader can open an account in Alpari and opt to trade currencies (FX majors, FX minors, FX exotics, and FX RUB), spot metals, spot commodities, stock trading, spot indices, and crypto-currencies.
A trader can find out what the minimum spreads, pip value, swaps, and trading session times are for each instrument before start trading. If the trader is still not sure where to begin, they can found the answer in a guide provided by Alpari on their official website.
Their guide to trading is designed to break down the terminologies and answer the most frequently asked questions by traders. A trader will be trading more quickly and with more confidence in no time.
Besides, Alpari offers PAMM (Percent Allocation Management Module) which allows a trader to choose their desirable Account Manager. This allows traders to have a chance in gaining more profit without advanced knowledge of forex trading. These managers usually have a wealth of experience in the markets, with tried-and-tested strategic trading decisions.
This program also gives opportunities for well-seasoned traders to become Strategy Managers. As Strategy Managers, they can use their trading experience and earn more from profitable trades. They have privileged access to Alpari's advanced programs and all the tools they need to cultivate a massive following of investors. The investors then will help Strategy Managers to earn more through commission fees up to 40%.
Their website also provides various Forex Trading Strategies. Because to increase the chance to profit, it's important to know as much about the markets and the trading strategies behind them as possible. Alpari believes that strategies provide traders with a roadmap for trading, reducing panicked decision-making that can occur in the heat of the moment. In other words, trading in Alpari allows traders to learn about any kind of forex trading strategy.
For educational purposes, the company provides Trading Webinars, one of the variants of technology that allows users to hold seminars, talk shows, and discussions online, without having to communicate face to face.
Alpari creates a very convenient funding and withdrawal experience for each trader. A trader can transfer with any kind of methods, such as e-payment (example: FasaPay, Local Transfer, TC Payment, etc), credit cards (Visa, Mastercard, and Maestro), E-Wallet (Neteller, Skrill, VLOAD, TC Pay Wallet, WebMoney, Perfectmoney, Bitcoin), and bank transfer. If there's been no trading activity on the trader account for at least 6 months, an inactivity fee of 5 EUR/USD/GBP will be applied.
All Back office transfers are processed during standard business hours, 03:00-19:00 GMT+2 (GMT+3 during DST), Monday-Friday. If traders still feel confused, they can contact Alpari's team by any method, such as Live Chat, Telegram, or email.
Exness' standard account offers 1.4 pip spreads for AUD/USD trading. While this might be a little high for some traders, this broker also offers a raw spread account and zero accounts for AUD/USD traders who are looking for a better price. The raw spread account in Exness comes with 0.2 pips spread and a USD7 commission fee per round turn. With the zero spread account, the spread starts from 0 pips with a USD10 commission fee per round turn. While the commission can be a little too high for some traders, the super low spread makes up for its drawback.
The choice of broker is adjusted to the needs of each trader. If you are a trader who only needs a basic platform and trading features with the best attributes, then Exness can be your best choice.
Exness covers its lack of feature variations with other advantages like low spreads starting from only 0.1 pip. This is very suitable for traders who use scalping strategies (Scalper). Spreads on major pairs in certain account types can also be as low as 0.0 pip, depending on market conditions.
Not only that, but traders can also enjoy other advantages such as an automatic fund withdrawal system. If a trader withdraws funds through the e-Payment facility provided by Exness, the processing time is instant and goes straight into the account. This means that when traders make a withdrawal, everything happens automatically without human intervention.
The safety of traders' funds is also guaranteed as Exness is one of the European-based STP/ECN brokers. Exness's ability to become an official partner of the Real Madrid soccer team for 3 years, starting July 2017, also provides evidence that the company has high solidity.
Deposits and withdrawals may be made 24 hours a day, 7 days a week. However, it is important to note that the company shall not be liable for delays in processing deposits and withdrawals if such delays are caused by the payment system.
Traders do not need to worry about transaction fees when depositing and withdrawing. When trading on Exness, transaction fees are not charged to traders. A variety of payment methods are provided for traders, including Wire Transfer, Bank Card, Neteller, Skrill, and many others.
All information displayed on the Exness website is tested and proven. Their business is audited quarterly by Deloitte, which is an audit company for financial services.
Moreover, Exness is one of the mote transparent brokers in the online trading industry. Traders can find out all information about this company on the website, such as trading volume, number of active clients, client deposits, company funds, and many more.
The platforms provided by Exness vary in MetaTrader 4, MetaTrader 5, Web, and Mobile platforms. This makes it easy for traders when trading on Exness, as they can also access Exness platforms anywhere and anytime.
Over the years, Exness has developed into a broker that attracts traders. Trader's trust is further enhanced by its compliance with financial regulations like the FCA and CySEC.
One measure of client confidence can be put on the trading volume. By December 2018, their clients' monthly trading volume reached USD348.4 billion and active traders around the world surpassed 50,342.
Through the program offered by Exness, traders also have the opportunity to earn extra income by becoming their partners. From the Introducing Broker (IB) program, partners can earn up to 33% spread commission from every new client that registers with them.
Additional income can also be obtained from Exness Partners. Traders can get a spread commission of up to 25% per transaction made by traders who register through an affiliate link.
When trading with Exness, profit opportunities generated by traders also increase with VPS hosting services. This feature helps to maintain trading activities to progress smoothly and without interruption in the event of unexpected troubles such as lost internet connection or electricity problems that shut down traders' PCs unanticipatedly.
From the review above, it can be concluded that Exness is a favorite broker for traders because of low spreads and flexible account types. This condition is very suitable for traders with limited funds but is in need of more opportunities to get maximum profit. This broker is also well known for its maximum support on both new and existing partners.
Another great AUD/USD broker to consider is XM. To start with, this broker equipped themselves with different kinds of account types. The standard account offers traders with spread as low as 0.00028 with a value of AUD100,000 per lot. The micro account has somewhat similar spreads but with a lower lot value of AUD1,000. Meanwhile, the XM ultra-low standard account offers a spread as low as 0.00011 with a value of AUD100,000. Lastly, XM's ultra-low micro account offers a similar spread with only AUD1,000 per lot.
Established in 2009, XM is a member of an online brokerage company called Trading Point of Financial Instruments Ltd. In providing clients on a global scale, the company has branched into XM Australia and XM Global, and XM Cyprus. Each member has different headquarters and licenses, with XM Australia registered under the Australian Securities and Investment Commission (reference number: 443670), XM Global under the IFSC (60/354/TS/19), and XM Cyprus under the Cyprus Securities and Exchange Commission (reference number: 120/10).
XM is one of the more experienced brokers in the world of online forex trading today. Since its founding, the broker has experienced a lot of changes, including the addition of the Ultra-Low Account and Webinar feature that is accommodated in 19 different languages with 35 native instructors for each language.
In terms of trading instruments, XM is a well-known diverse class assets provider, varying from Forex, Commodities, Equity Indices in CFDs, Precious Metals, Energies, to Shares. XM prides itself to be the ideal broker in trading execution, offering a stat of 99.35% orders to be executed in less than 1 second. Trading in XM would be also provided with a strict no requotes policy, no virtual dealer plug-in, no rejection of orders, real-time market execution, and the choice for traders to place orders online or by phone.
Spreads on all majors can reach as low as 0.6 pips in Ultra-Low Account, while spreads on other accounts usually start from 1 pip. Instead of providing maximum leverage on the scale of 1:500 or 1:1000 (round numbers), XM chooses to limit their leverage on a 1:888 scale, a unique number that is now widely recognized as XM's trademark.
To protect the client's fund in the event of extreme volatility, XM presents each account type with Negative Balance Protection. The deposit starts from $5 in Micro and Standard Account, while Ultra-Low Account requires a minimum deposit of $50. Traders who open accounts in XM are enabled a condition similar to a Cent Account environment in the Micro Account, in which the Contract Size for every lot is only 1,000 units. If it is applied with the smallest lot size in the MetaTrader platform which amounts to 0.01, it means that traders can go as small as 10 units per trade.
For the deposit, XM applies zero-fee deposits in most of its available payment methods. Traders can choose to fund or withdraw their accounts via wire transfer, credit card, as well as the most favorable e-payment choices like Skrill, Neteller, and FasaPay.
XM also provides an Islamic Account for Muslim Traders obligated to Sharia Law that prohibits the use of interest generated by overnight swaps for each currency pairs. To give their clients the best experiment in trading, XM has given access to both MT4 and MT5 platforms, each is available for more than 6 display formats (PC, Mac, Multiterminal, WebTrader, iPad, iPhone, Android, and Android Tablet).
All in all, there is no doubt that XM has gone global with its deep commitment to providing trading services in more than 15 languages around the world. Aside from easing traders' experience with mainstream trading platforms and high-quality trading execution, XM is open to various types of traders, from small capital traders to the more experienced ones with big deposits at the ready. Traders are even provided with a Cent Trading environment should they choose to register under Micro Account.
To better compare some brokers above, here is a side by side comparison with further details on each broker:
|Feature||Go to IC Markets||Go to Pepperstone||Go to Exness|
rated by 22094 users
rated by 1367 users
rated by 579 users
|Office(s)||Australia, Hong Kong and Viet Nam||Australia, UK, Kenya, The Bahamas, Cyprus, Dubai and Germany||Cyprus, Seychelles and United Kingdom|
|Regulation|| ASIC ACN 123 289 109 |
Securities Commission of The Bahamas, SIA-F214
The Financial Commission, 25.11.2021
|ASIC, 414530 |
Capital Markets Authority of Kenya, 128
DFSA (Dubai), F004356
| CySEC 178/12 |
FCA (UK), 730729
FSA (Seychelles), SD025
FSC (BVI), SIBA/L/20/1133
FSC (Mauritius), 176967
FSCA (South Africa), 51024
The Financial Commission, 22.07.2021
|Minimum Position||0.01 lot||0.01 lot||0.01 lot|
|Payment||Bitcoin, BPAY, Credit/debit cards, FasaPay, Neteller, PayPal, Skrill, UnionPay and Wire transfer||Credit/debit cards, PayPal, UnionPay and Wire transfer||Bitcoin, Credit/debit cards, Neteller, Perfect Money, Skrill, Tether (USDT), WebMoney and Wire transfer|
|Official Website||Visit IC Markets||Visit Pepperstone||Visit Exness|
|Forex Demo Account|
|US traders are welcome|
|Requires sending documents via postal mail|
|Overnight interest rates (swaps)|
|Trading by telephone|
|Interest rate on funds|
Trading Platforms and Complements
|Trading via API|
|One-Cancels-Other (OCO) orders|
|Gold & silver|
|Website Languages||Chinese, English, Japanese, Russian||Chinese, English, Russian||Arabic, Bengali/Bangla, Chinese, English, French, German, Hindi, Indonesian, Italian, Japanese, Korean, Portuguese, Russian, Spanish, Thai, Urdu, Vietnamese|
|Traders Reviews|| |
Millard DonnellyMay 26 2022
I am honestly interested in IC Markets because of a lot of things, including:
- low spreads
- CFD trading
- multiple deposit and withdrawal methods
I also understand that IC Market has plenty of trading platforms ranging from MT4, MT5, and cTrader. Does any of their platform available for customization? If yes, does it utilize MLQ4 programming language or C# programming language?
Arletta BoltonMay 26 2022
Do IC Markets accept deposits and withdrawals from credit cards? I have actually visited their websites and I have already checked their payment methods and I have realized that they have a lot. I've seen that they offer bank transfers as well, but I am not sure if they can accept payment through credit card as it is the most convenient for me now.
AlannahMay 9 2022
I've just opened a live account with this broker. Very happy so far, tight spreads and great service. I am trading a standard account.
Love Cinninati LoveMay 9 2022
I've been with Pepperstone for one year. They've had their ups and downs but currently they are the best broker I use.
Madison JackmanMar 25 2022
Anyone also often experience server problems with EXNESS? I just experienced it myself. Hopefully it doesn't happen like this again. A little disappointed tho, I never have a problem when trading with EXNESS before.
ZoeyMar 24 2022
Each broker must have advantages and disadvantages of each. As a new trader, EXNESS must look very good. The features are quite complete. However, when you trade for a longer period of time and with more money, you will lose more often. Unreasonable price differences are often the cause of your lose.
|Open Real Account||Open IC Markets Real Account||Open Pepperstone Real Account||Open Exness Real Account|
Aside from the Australian Dollar, the Pound Sterling is also a great currency to trade with the US Dollar. However, not all traders understand what are the best brokers to trade the currency pair. Find out the list in the Lowest Spread Brokers for GBP/USD.