{"id":97643,"date":"2023-11-24T06:05:21","date_gmt":"2023-11-24T06:05:21","guid":{"rendered":"https:\/\/arielle.com.au\/?p=97643"},"modified":"2026-01-22T04:44:19","modified_gmt":"2026-01-22T04:44:19","slug":"what-is-slippage-in-trading","status":"publish","type":"post","link":"https:\/\/arielle.com.au\/what-is-slippage-in-trading\/","title":{"rendered":"What Is Slippage In Trading (And How To Avoid It)?"},"content":{"rendered":"Reading Time: <\/span> 5<\/span> minutes<\/span><\/span>\n

Slippage occurs when a trader settles for a price different from the intended execution price. It’s when the bid\/ask spread changes between when the broker submits the order and when the exchange is executed.<\/p>\n\n\n\n

It tends to happen in financial markets with heightened volatility or low liquidity, but there are some other causes that you have some degree of influence over (more on that shortly).<\/p>\n\n\n\n

You might think a few pips here and there are negligible, but timing impacts the profitability of your trades \u2013 both negatively and positively.<\/span><\/div><\/div>\n\n\n\n

Let’s take a closer look at how and why slippage occurs.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

(Related: eToro Review: Pros, Cons, Fees & Verdict<\/a>).<\/strong><\/p>\n\n\n\n

<\/div>\n\n\n\n

Negative Slippage Versus Positive Slippage.<\/strong><\/h2>\n\n\n\n

Before we run through an example of slippage in trading, we first must distinguish between positive and negative slippage.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Any difference, positive or negative, between the intended execution price and the actual execution price qualifies as slippage.<\/p>\n\n\n\n