There are two aspects of the spread, the bid price and the ask price. It is important to be aware of the functions that each part of the spread plays when placing a trade.
Bid: The bid price is used when opening a sell trade and closing your buy trade. In the trading platform available, it is this price that is used to create the chart price.
Ask: The ask price is used when opening your buy trades and closing your sell trades. The ask price sits above the chart price as it is always higher in value than the bid. You can see live ask prices by going to the platform, right clicking on the chart, select properties, common tab and ensure that “Show Ask line” is selected.
When opening a sell trade it will look as follows:
When opening a buy trade, the buy price will appear above the market price as follows:
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