Lesson 10 Quiz 10 Welcome to Lesson 10 Quiz 10 on "What is a Spread in Forex?"1. What is the spread in forex trading? a. The difference between the ask and bid prices b. The total value of your trade c. The leverage offered by the broker d. The commission charged for executing a trade None 2. Why do brokers include the cost of the spread in forex trading? a. To discourage traders from making frequent trades b. To provide a transparent fee structure c. To offer lower spreads during volatile market conditions d. To increase their profit margin None 3. How is the spread typically measured? a. In dollars b. In percentage points c. In lots d. In pips None 4. What is the difference between fixed and variable spreads? a. Fixed spreads change constantly, while variable spreads remain the same. b. Fixed spreads are wider than variable spreads. c. Fixed spreads remain constant regardless of market conditions, while variable spreads fluctuate. d. Variable spreads are offered only by market-making brokers. None 5. When might you expect to see an increase in the spread? a. During quiet market hours b. When the broker wants to attract more traders c. During high market volatility d. When the broker wants to minimize their profit None 6. What is a raw spread in forex trading? a. The difference between the buying and selling prices of a currency pair without any extra fees b. A fixed spread cost regardless of market conditions c. A spread that includes additional fees charged by the broker d. The spread between the highest and lowest prices of a currency pair None 7. How do traders benefit from raw spread accounts? a. By paying lower commissions per trade b. By getting direct access to the interbank market for better prices c. By receiving fixed spreads at 0 pips d. By accessing additional trading instruments None 8. What is a zero spread in forex trading? a. The spread between the highest and lowest prices of a currency pair b. A spread that includes additional fees charged by the broker c. A fixed spread cost regardless of market conditions d. A spread fixed at 0 pips, with no spread cost to traders None 9. How are zero-spread accounts typically structured? a. With variable commissions based on market volatility b. With a fixed commission per trade, regardless of market conditions c. With a fluctuating spread cost based on liquidity provider rates d. With no commission or spread costs at all None 10. What distinguishes zero spread accounts from raw spread accounts? a. Zero spread accounts offer access to the interbank market b. Raw spread accounts have fixed spreads at 0 pips c. Zero spread accounts involve a fixed commission per trade d. Raw spread accounts have no spread costs regardless of market conditions None Time's upTime is Up!
