For example, a spread of 25 cents on a price of $10 equals 2.5%. But the spread shrinks to only 0.25% if the stock price jumps to $100. In foreign exchange, the standard bid-ask spread in EUR/USD ...
A bid is the highest price a buyer is willing to pay for a stock, while an ask is the lowest price a seller is willing to accept—the difference is between the two is known as the bid-ask spread.