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Glossary › bid-ask spread

Trading glossary · markets

bid-ask spread

The small difference between the price to buy and the price to sell. You pay it every time you trade, like a tiny fee.

The fuller meaning

The difference between the ask and the bid, a built-in cost on every round trip. It is wider in thin sessions such as pre-market or quiet forex hours and around high-impact news; it shrinks every win and grows every loss, raising the win rate a method needs.

bid-ask spread, also called spread.

Related words

24/7 market · after-hours · Asian session · ask · base currency · bid · Bitcoin · BSE · business income · capital gains