By Investment U Research Team Of the many fundamental chart metrics new investors need to get familiar with, bid-ask spread is near the top of the list. Thankfully, it’s also one of the easiest to understand. What is the bid vs. ask price? What does it mean for a security? To understand it fully, you need to have a basic grasp on economics—specifically, supply and demand. Getting familiar with bid-ask will help you make more informed decisions about when to enter and exit positions—especially if you’re a day or swing trader.
Breaking Down Bid vs. Ask
Look up any stock chart or currency pair chart and …read more