Spread (bid ask)
The gap between the buying and selling price. A real cost every trade.
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Words beside it
- Bid ask spread
The gap between bid and ask. A real cost of trading, paid on entry and exit.
- Credit spread (options)
Selling one option and buying another further out, collecting a net premium with a capped loss.
- Debit spread (options)
Buying one option and selling another further out, paying a net premium for a capped gain and capped loss.
Ask about Spread (bid ask)
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