StocksResult
📝 What is Bid Price & Ask Price?
💰 What is Bid Price & Ask Price?
🔍 Meaning of Bid Price:
👥 Bid means the price that a buyer is willing to pay for a stock.
In simple words —
"I want to buy this stock at ₹100 — not more!"
👉 ₹100 = Bid Price
🔍 Meaning of Ask Price:
👥 Ask (also called Offer Price) means the price that a seller wants for selling the stock.
In simple words —
"I want to sell this stock at ₹102 — not less!"
👉 ₹102 = Ask Price
🎯 A Simple Example:
Imagine a vegetable market 🍅🥕:
👨🌾 Seller: "I will sell tomatoes at ₹102 per kg." (Ask Price)
👩🍳 Buyer: "I will buy tomatoes at ₹100 per kg." (Bid Price)
So, there is a ₹2 gap.
Until someone agrees on the price — the deal won't happen!
✅ Same in the stock market.
⚡ Why is there always a gap between Bid and Ask?
This gap is called the Bid-Ask Spread.
✅ If many buyers and sellers are active, the spread becomes small (easy to buy/sell).
❌ If low activity (illiquid stock), the spread is large (hard to trade fast).
💡 Real Stock Example (Imagine only — no real stock names):
🛒 You see Stock "XYZ Ltd.":
Bid Price: ₹98 (buyers want to buy at ₹98)
Ask Price: ₹100 (sellers want to sell at ₹100)
If you place an immediate market order to buy, you get the stock at ₹100 (Ask Price).
If you place an immediate market order to sell, you get ₹98 (Bid Price).
That ₹2 difference? ➡️ Goes to traders called "Market Makers" or just part of market friction.
❗ Important to Know:
✅ Buyers = Bid
✅ Sellers = Ask
✅ The actual trade happens when both agree at the same price.
Example: If a buyer suddenly says, "Okay fine, I will pay ₹100," — the deal happens.
🚀 Super Easy Summary:
🟢 Bid Price = Best price a buyer wants to pay (to Buy)
🔴 Ask Price = Best price a seller wants to get (to Sell)
👉 Deal happens only when both match!
🎯 One-Line Memory Trick:
💡 B for Buyer = Bid
💡 A for Ask = Available to sell