What does the “spread” mean in stock trading?

Spread is just the difference between BID price and ASK price.

BID price: Maximum price buyer agrees to pay when buying any instrument

ASK price: Minimum price seller agrees to receive when selling any instrument

As an Example:

Note1: A trade happens only when buyer or seller agrees on BID and ASK price respectively.

Note2: ASK Price is always bigger than BID Price

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