Forex Glossary


The bid is the amount of money that your broker is willing to pay to purchase a financial instrument.

It is the opposite of an ask, which is the price at which a currency pair can be sold to a broker. It is also known as the “sell” price or “bid” price.

This is the price at which you, the trader, can sell the base currency.

Bids usually comprise two elements:

  • The price which the buyer is willing to pay
  • The quantity of the financial instrument they are looking to purchase.

A trader bidding 110.25 for 1,000 units of USD/JPY, for example, will see their trade executed if a seller agrees to that price and level.

The bid (the price at which an asset can be sold) is quoted lower than the ask, and the gap between the two is referred to as the spread.


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