Slippage Definition

Slippage is the difference between the expected price of a trade and the price at which it is actually executed.

What is Slippage?

Slippage commonly occurs during periods of high volatility or low liquidity.

It can work in a trader's favor or against them, depending on the direction of the price movement.

A market order expected to fill at $100 but executed at $100.50 during fast-moving conditions experienced slippage.

Scalping is a short-term trading strategy that aims to profit from very small price movements, often within seconds or minutes.

A sector is a group of companies operating in the same segment of the economy, such as technology, energy, or healthcare.

Securities are tradable financial instruments representing ownership, a creditor relationship, or rights to ownership, such as stocks and bonds.