Orders & trading
What is Slippage?
Hinglish mein padhein: Slippage kya hota hai?
Slippage is the difference between the price you expected and the price you actually got.
It comes from spreads, fast-moving prices and orders large enough to eat through several levels of the order book.
Using limit orders and trading liquid stocks reduces slippage.
Related terms
- Bid, ask and spreadThe bid is the highest price a buyer is willing to pay, the ask (offer) is the lowest price a seller will accept, and the spread is the gap between them.
- Market orderA market order buys or sells immediately at the best available price, trading certainty of execution for uncertainty of price.
- Impact costImpact cost is how much the price moves against you because of the size of your own order.