Understanding Spreads

In trading, the spread represents the difference between two key prices for a trading instrument: the Bid Price and the Ask Price.

• Bid Price: This is the highest price that buyers are willing to pay for an asset. It is the best available price to sell.
• Ask Price: This is the lowest price that sellers are willing to accept. It is the best available price to buy.

The spread is essentially the gap between these two prices and reflects the cost of executing a trade.

How Does My Stop-Loss Get Activated?

• For Buy Positions: The stop-loss is triggered by the Bid Price, which initiates the closing of a buy position. This means a sell order is executed to close out your buy position.
• For Sell Positions: The stop-loss is activated by the Ask Price, which initiates the closing of a sell position. This means a buy order is executed to close out your sell position.

How Can I Enable the Ask Line on My Chart?

1. Open Chart Properties: Right-click on your chart and select "Properties."
   
   
   
   
2. Show Ask Line: Navigate to the "Show" tab and check the box labelled "Show Ask Line."