What is Slippage?
Updated
Slippage is a common occurrence in trading that refers to the difference between the expected price of an order and the actual price at which the order is executed. This can happen due to various factors such as market conditions, liquidity, and order size. Typically, slippage tends to be more prevalent in larger orders and during periods of high market volatility when prices can fluctuate rapidly.
To minimize the impact of slippage on your trades, it's important to have a solid trading plan and to be aware of the current market conditions before executing your orders. You may also consider using limit orders or other advanced order types that can help you better control the execution price of your trades.
