Slippage is the difference between the price you expected and the price an order was actually filled at. It happens when the market moves while the order is travelling, or when there is not enough liquidity at the requested price to fill the whole order. Slippage can be in your favour or against you, and it is most common around news events, at the open of a session and on thinly traded pairs.
Forex glossary
Slippage
Related term
Liquidity
Liquidity is how easily a position can be bought or sold without moving the price. Major pairs during the London and New York sessions are highly liquid, so quo…
Spotted an error or a missing nuance?
Definitions are written by us and corrected when we are told we are wrong. If your broker quotes differently — especially on gold — say so and we will record the assumption.