I keep mixing up ask and bid prices when placing trades. Sometimes it costs me money.
Anyone have a simple way to remember which is which? Or maybe a trick you use to avoid mistakes?
I’ve looked it up before, but it never sticks in my head during actual trading.
I use a color system on my charts. Green = bid, red = ask. Makes it clear when I’m scalping EURUSD. Saved me from mistakes during volatile NFP releases.
Man, I feel you. Mixing those up cost me big time when I first started.
Here’s what clicked for me: Ask is always higher. Think of it like haggling at a market.
Last month I almost messed up a GBPUSD trade, but caught myself in time. The ‘A’ in Ask reminded me it’s the higher price.
Saved my butt and turned into a sweet 45 pip win.
Been there, done that with the ask/bid confusion. Here’s a trick that works for me:
Think of it like buying a car. The dealer asks for a price (ask), you bid lower (bid).
Helps to have a post-it note by your screen as a quick reminder. Saved me from some costly mistakes, especially during those hectic market opens.
Just don’t get too comfortable and start trading on autopilot.
• Bid: Buyers offer this price
• Ask: Sellers request this price
• Bid < Ask (spread between)
• Remember: Bid = Buy, both start with B
Look, it’s simple. Bid is what buyers are willing to pay. Ask is what sellers want. Always remember: you buy at the ask, sell at the bid.
In practice, set up your platform to show both prices clearly. I’ve got mine color-coded - green for bid, red for ask. Makes it impossible to mix up.
Quick tip: before you hit that trade button, double-check you’re using the right price. Saved me from plenty of dumb mistakes over the years. And trust me, even after 8 years, I still do this check every single time.