What You Need to Know About the Spread When Trading in Levels
When trading in levels, be aware that the spread is always present.
This means the difference between the buy and sell prices can affect your trades, so take this into account when placing a trade. The spread can impact your entry and exit points, so plan your trades accordingly.
Spread is the difference between the buy price and the sell price of an asset. It’s essentially the cost of trading. In calm markets, spreads are usually small. But during news or big events, spreads widen because the market becomes more unpredictable, raising trading costs.