How does ask in bid/ask work. 1. a stock price is .17, the bid is .16 and ask is .18 a buy comes in and the ask changes to .16 and the next buy puts the stock price at .16 I've seen this lately on penny stocks 2. a stock's asking price stays at thesame price or lower all day no matter how many buys are made 3. a stock has an ask price of .18 10 buys come in and after 30 minutes a sell occurs and the ask price drops to .17 it seems like no matter how many buys come in the ask does not hardly change. This seems to be more prevelent lately and a lot of stocks are doing this, not just the ones I own.
Posted by VNGNTN1 on :
Bid is what a BROKER will buy from you @ Ask is what BROKER will sell to you @ These numbers are a result of "relationships with MM's. This is why it is important to find a broker who will "look around" and get the best deal for you. This "spread" can hide a lot of dollars over a years time for an active trader. VAN
[This message has been edited by VNGNTN1 (edited December 17, 2003).]