answersLogoWhite

0


Best Answer

The bid price is the price that someone is willing to pay for that stock, the ask price is what someone is willing to sell that stock for.

If the stock is up to $1, for example, when you buy it the lowest someone is willing to sell it for could be $1.01, and someone else may be willing to buy it at $.99.

User Avatar

Wiki User

14y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: What is bid price and ask price in Stock?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Related questions

Who sets the bid and ask price for a stock traded over the counter?

mema


What does it mean when there is a bid price but no ask price for a stock?

means that the markets closed... Wait till they open again


Is there a place to screen for stock options that are bought at the ask price?

All stock options are bought at the ask price. There is no such thing as buying at bid price unless you are a market maker bidding for options in the open market.


What is the bid an ask price in commodities?

"Ask" is the price sellers are asking for their commodity. "Bid" is the price buyers are willing to pay.


What does it mean when a share buy and sell price are close together?

The buy and sell price of a stock are referred to as the "bid" and the "ask." The bid is the price that a buyer is willing to pay and the ask is the price that a seller is willing to accept. A narrow spread between the bid and the ask typically means that a stock has good liquidity due to a large volume of shares being traded on an orderly basis. A wide bid/ask spread may occur when shares have low trading volume or when a stock price is under pressure due to an imbalance of buy and sell orders. One method an investor has to prevent overpaying when a stock has a wide trading range is to enter a buy limit order which means the investor instructs his broker to consummate an order only at or below a specified price.


What is crossing the bid ask spread?

Selling at a price equal to or lower than the bid price or buying at a price equal to or higher than the ask price.


What is bid and ask in foreign exchange?

The bid is the price that the buyers are willing to pay. The ask is the price that the sellers are willing to pay.


What is a Bid price and ask price?

I want to sell my car - my asking price is $3,000 but your BID price is only $2,500


Which company's ticker symbol is BID?

The stock symbol ticket BID represents Sotheby's Common Stock. This is actually a great stock symbol for this company as their specialty is auctions that people "bid" on. As of the writing of this answer Sotheby's "BID" stock had last traded at the price of $35.08 per share.


What are bid and ask prices?

Bid is the highest price someone is offering to buy the securities for at a given point in time. Ask is the lowest price someone is offering to sell the securities for at a given point in time. When placing a trade you would typically be buying at the ask price and selling for the bid price.


Explain why the bid-ask spread is a transaction cost?

The bid-ask spread is the difference between the bid price (the amount of money you get when you sell) and the ask price (the amount of money it costs to buy). Since the ask price is higher than the bid price, it costs you more money to buy the asset than you would receive should you be selling the same asset. This spread is the price (along with a commission) for making the trade.


What is bid and ask rate in forex?

Bid: The price a buyer is willing to pay for a security or goods (Currency pair)Ask: asking price, or simply ask, is a price a seller of a good is willing to accept for that particular security or goods