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Offer

The price a seller is willing to accept, also called the ask.

Quick answer

The offer is the price a seller accepts, also called the ask.

Definition

The offer is the price at which a seller is willing to sell, also known as the ask. It sits on one side of the spread, opposite the bid. You buy at the offer and sell at the bid, which is why the spread is a cost of trading.

How It Works

  • You buy at the offer, sell at the bid
  • The spread is the gap between them
  • It moves with liquidity

Trading Tips

1

Always trade at the offer when buying

2

Compare the offer to the bid to read the spread

3

Know a wider offer signals less liquidity

Related Terms

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