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Bid Price + Ask Price Question

  • #1
  • First Post: Nov 23, 2015 5:44pm Nov 23, 2015 5:44pm
Hoping someone can help me answer this so I can be sure.

If I had a BuyOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level?

If I had a SellOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level?

If I had a BuyOrderTP at 120.100. Would this be filled by the ask price or the bid price reaching this level?

If I had a SellOrderTP at 120.100. Would this be filled by the ask price or the bid price reaching this level?
  • #2
  • Nov 23, 2015 6:01pm Nov 23, 2015 6:01pm
BUY closes at BID
SELL closes at ASK
MT4/MT5 EAs/Indicators/Alerts coder
  • #3
  • Nov 23, 2015 6:04pm Nov 23, 2015 6:04pm
Bid is the LOWER value (The price potential buyers are prepared to pay.)
Ask is the HIGHER value (The asking price the sellers would like to be paid.)

If you have (for instance) a buylimit, buystop order, or a market buy, that order will be filled by the ask price. (You have to pay the price a seller is asking.)
Once you are in a buy, the only way to get out is via a sell. (This sell may be in the form of a stoploss, a takeprofit or simple close of the trade.)
A sell is made at the bid price (The price a potential buyer would be prepared to pay for your product.)
As such - you buy at the higher (ASK) price.
You sell at the lower (BID) price.

On the chart we use BID to create the candles. Charts say nothing about ASK price - yes, you can turn on the ask price on MT4 and get the CURRENT ASK price but, the chart says nothing about historical ASK values.
So, if you are trying to develop a trading system, this may also have a significant effect on your system (you have to take this into account - especially on tight TP and SL trading systems.)

Enjoy your trading and, especially enjoy your profits.
  • #4
  • Nov 23, 2015 6:08pm Nov 23, 2015 6:08pm
you pay for spread all time in trading .so you always have the lower hand .



If I had a BuyOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level?ask price

If I had a SellOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level? bid price


If I had a BuyOrderTP at 120.100. Would this be filled by the ask price or the bid price reaching this level?bid price


If I had a SellOrderTP at 120.100. Would this be filled by the ask price or the bid price reaching this level?ask price

have a nice day please
focus while relaxed to see better
  • #5
  • Nov 23, 2015 6:08pm Nov 23, 2015 6:08pm
Quoting FerruFx
BUY closes at BID SELL closes at ASK
This seems to make sense, so just to clarify:

Buy SL and Buy TP will fill at Bid Price?

Sell SL and Sell TP will fill at Ask Price?

Correct? Just wanting to be sure
  • #6
  • Nov 23, 2015 6:10pm Nov 23, 2015 6:10pm
Quoting SaiLyfee
{quote} This seems to make sense, so just to clarify: Buy SL and Buy TP will fill at Bid Price? Sell SL and Sell TP will fill at Ask Price? Correct? Just wanting to be sure
yes correct
have a nice day please
focus while relaxed to see better
  • #7
  • Nov 23, 2015 6:19pm Nov 23, 2015 6:19pm
Quoting SaiLyfee
{quote} This seems to make sense, so just to clarify: Buy SL and Buy TP will fill at Bid Price? Sell SL and Sell TP will fill at Ask Price? Correct? Just wanting to be sure
Quoting orabi
{quote} yes correct have a nice day please
Here you say:
Buy SL = Bid
Buy TP = Bid
Sell SL = Ask
Sell TP = Ask

Quoting orabi
you pay for spread all time in trading .so you always have the lower hand . If I had a BuyOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level?ask price If I had a SellOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level? bid price If I had a BuyOrderTP at 120.100. Would this be filled by the ask price or the bid price reaching this level?bid price If I had a SellOrderTP at 120.100. Would this be filled by the ask price or the bid price reaching this level?ask price...
But here you say

Buy SL =Ask
Buy TP = Bid
Sell SL = Bid
Sell TP = Ask
  • #8
  • Nov 23, 2015 6:21pm Nov 23, 2015 6:21pm
Quoting SaiLyfee
{quote} This seems to make sense, so just to clarify: Buy SL and Buy TP will fill at Bid Price? Sell SL and Sell TP will fill at Ask Price? Correct? Just wanting to be sure
Yes
MT4/MT5 EAs/Indicators/Alerts coder
  • #9
  • Nov 23, 2015 6:23pm Nov 23, 2015 6:23pm
Quoting SaiLyfee
{quote} This seems to make sense, so just to clarify: Buy SL and Buy TP will fill at Bid Price? Sell SL and Sell TP will fill at Ask Price? Correct? Just wanting to be sure
In short:

Buy opens at Ask and closes at Bid

Sell opens at Bid and closes at Ask
MT4/MT5 EAs/Indicators/Alerts coder
  • #10
  • Nov 23, 2015 6:24pm Nov 23, 2015 6:24pm
Ok great, I think I have my answer then assuming this is correct? Apologies for any confusion

If I had a BuyOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level?
Filled by: Bid price
If I had a SellOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level?
Filled by: Ask price
If I had a BuyOrderTP at 120.100. Would this be filled by the ask price or the bid price reaching this level?
Filled by: Bid price
If I had a SellOrderTP at 120.100. Would this be filled by the ask price or the bid price reaching this level?
Filled by: Ask price
  • #11
  • Nov 23, 2015 6:26pm Nov 23, 2015 6:26pm
i understand it by paying the spread always sorry if i did a mistake have a nice day sir please
focus while relaxed to see better
  • #12
  • Nov 23, 2015 6:39pm Nov 23, 2015 6:39pm
Quoting SaiLyfee
Ok great, I think I have my answer then assuming this is correct? Apologies for any confusion If I had a BuyOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level? Filled by: Bid price If I had a SellOrderSL at 120.100. Would this be filled by the ask price or the bid price reaching this level? Filled by: Ask price If I had a BuyOrderTP at 120.100. Would this be filled by the ask price or the bid price reaching this level? Filled by: Bid price If I had a SellOrderTP at 120.100. Would this be filled by the...
Yes ...
MT4/MT5 EAs/Indicators/Alerts coder
  • #13
  • Last Post: Nov 23, 2015 6:43pm Nov 23, 2015 6:43pm
Quoting FerruFx
{quote} Yes ...

Much thanks again
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