1. Money

Forex Spread

From , former About.com Guide

Definition:

In forex trading there are two prices on a currency pair at any given time. There is the ask price and the bid price. The spread is the difference between those two prices. For example if you made a long trade, you would pay the bid price on the pair. When you close or "sell" that trade, you would close at the asking price.

The spread is the constant difference between the bid price and the ask price.

Top Related Searches bid price asking price currency
  1. About.com
  2. Money
  3. Forex Trading
  4. Forex Glossary
  5. Forex Spread - What Does the Term Forex Spread Mean

©2013 About.com. All rights reserved.