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Low Spread Forex Brokers in Malaysia

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Many brokers have establishments in Malaysia, but not all of them have competitive spreads. If you're a trader with specific needs to trade in a low spread environment, the list below can be a good recommendation.

For your information, low spreads are especially beneficial for scalpers, day traders, other strategy users that focus on short-term trading, and traders who want to minimize trading costs in general.


Apr 26 2024

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Additional FAQ

Not only holds a license from local agencies like LFSA, a good broker for Malaysian traders should operate in the country and has a headquarter or at least a branch office there. This is to strengthen their presence in the Malaysian finance industry as well as optimize their service for clients who need offline consultations.

Malaysia is globally known as a Muslim country that has anchored Islam in its constitution as a state religion. Therefore, it is crucial for a forex broker in Malaysia to ensure that their service adheres to Sharia Law. This is usually accommodated into an Islamic or swap free account that eliminates swap rates for overnight positions.

Continue Reading at Top Forex Brokers for Malaysian Traders

Established in 1996, the statutory body is responsible for developing and administrating the Labuan International Business and Financial Centre (Labuan IBFC) to promote and develop Labuan as an international center for business and financial services. Labuan IBFC complements Malaysian financial industry through its strong regulatory and supervisory functions that are developed in accordance with international standards.

Continue Reading at Top Forex Brokers for Malaysian Traders

A scalper can open and close 30 positions in a day. Say the broker charges a spread of 3 pips for every position, the profit average is 5 pips, the loss average is 3 pips, and the scalper makes 20 winning trades and 10 losing trades. The total profit and loss without the spread are:

(20 x 5) - (10 x 3) = 70 pips

If the spread is charged:

((20 x 5) - (10 x 3)) - (30 x 3) = -20 pips

The result is disappointing, right? Although they have made twenty profitable trades, the total profit/loss turns to minus once the spread is applied.

Continue Reading at The Secrets of Successful Scalping Strategy

Currently, Malaysia has several financial regulators that issue licenses for trading providers. Aside from the Securities Commission of Malaysia (SCM) that specifically deals with securities market, there are also Bursa Malaysia (a stock exchange), Malaysia International Islamic Financial Centre (MIFC), Shariah Advisory Councils (SAC), and Labuan Financial Services Authority (Labuan FSA or LFSA).

Continue Reading at Top Forex Brokers for Malaysian Traders