Bid price is the price quoted by a buyer to buy a stock or index

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Bid ask spread is the difference between ask price and bid price

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Bid price is the price quoted by a buyer to buy a stock or index

Bid ask spread is the difference between ask price and bid price

Why it matters ?

Higher the spread means lower liquidity

Higher the spread means lower liquidity

Higher spread may affect risk reward ratio for a trader

Higher spread may affect risk reward ratio for a trader

Thanks for reading !