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9 Views • Jul 24, 2023 • Click to toggle off description
The bid-ask spread is the difference between the highest price a buyer is willing to pay (the bid) and the lowest price a seller is willing to accept (the ask) for a particular security or asset. It represents the transaction cost associated with buying and selling securities in the financial markets. The bid price reflects the maximum amount a buyer is willing to pay, while the ask price represents the minimum price a seller is willing to accept. The bid-ask spread is influenced by factors such as market liquidity, supply and demand dynamics, and trading volume. A narrower spread generally indicates a more liquid and active market, while a wider spread may suggest lower liquidity and potential challenges in executing trades at desired prices. Investors should be mindful of bid-ask spreads, as they can impact the overall cost and timing of their transactions and are particularly relevant for short-term traders and investors focused on precision in their buying and selling decisions.
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Views : 9
Genre: Education
License: Standard YouTube License
Uploaded At Jul 24, 2023 ^^


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RYD date created : 2023-07-25T00:24:54.113473Z
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