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Field dictionary

Finance, translated.

Definitions are only useful when you know why they change a decision. Search by word, concept, or consequence.

2 terms

Liquidity

Orders

How readily an asset can be traded without materially moving its price.

Why it matters: Low liquidity can increase spread, slippage, and difficulty exiting.

Slippage

Orders

The difference between an expected trade price and the actual execution price.

Why it matters: It increases in volatile, illiquid, or fast-moving markets.