Bid-Ask Spread Calculator

Calculate the bid-ask spread and percentage easily. Input the bid and ask prices, and instantly get the spread value along with its percentage. Simple and quick!

Result Bid-Ask Spread ($) $0 Bid-Ask Spread Percentage (%) 0%

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Bid-Ask Spread Formula


            Bid-Ask Spread = Ask Price - Bid Price

To calculate the bid-ask spread as a percentage, use the following formula:


            Bid-Ask Spread Percentage = ((Ask Price - Bid Price) / Ask Price) * 100

Simply input the bid and ask prices to determine the spread and its percentage, which reflect the trading cost and market liquidity.

Bid-Ask Spread Meaning

The bid-ask spread represents the difference between the highest price a buyer is willing to pay (bid) and the lowest price a seller is willing to accept (ask) for a security.

This spread is a key indicator of market liquidity and trading costs. A narrower spread typically indicates a more liquid market, where trading can occur with minimal cost, while a wider spread may signal lower liquidity and higher transaction costs.

Understanding the bid-ask spread helps traders and investors make informed decisions about the timing and cost-effectiveness of their trades.