Tag: bid-ask spread

Introduction:Stock liquidity is a crucial aspect of the financial markets, referring to the ease with which a stock can be bought or sold without causing a significant impact on its price. Monitoring stock liquidity is essential for traders and investors, as it provides valuable insights into the market's efficiency and potential trading opportunities. In this article, we will discuss the significance of monitoring stock liquidity and how it impacts trading. Understanding Stock Liquidity:Stock liquidity is determined by various factors, including trading volume, bid-ask spreads, and market depth. High liquidity indicates...