Low Trading Volumes and Illiquid Stocks

Capital Spreads. http://www.financial-spread-betting.com/Capitalspreads.html Angus comments about trading during turbulent times and trading liquid shares vs...

kofeplanne46 views1:35

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Capital Spreads. http://www.financial-spread-betting.com/Capitalspreads.html Angus comments about trading during turbulent times and trading liquid shares vs illiquid stocks. Low volumes always make the markets more volatile and we've seen that throughout the summer months. Vodafone is an example of a very liquid stock that has tight bid-offer spreads and is easier to trade. Spreads tend to be wider for smaller caps and companies that are traded on AIM for instance and the lack of liquidity means that the spreads for such companies are a lot wider

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Nov 15, 2011

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