Options Glossary

Glossary: Bid/Ask Spread

Last Updated: July 12, 2015


Bid/Ask Spread

What Does Bid/Ask Spread Mean in Options Trading?

It's the difference between the bid/ask price offered. Liquid contracts or contracts with a higher trading volume usually have a tighter bid/ask spread, and contracts that have a lower trading volume usually have more room between the bid/ask price.

Related Options Trading Terms

homeusercrossmenuarrow-right-circle linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram