Liquidity is defined by how quickly an asset can be bought or sold without the price changing and depends directly on the volume of trades and quantity of market participants. When there is a lack of requests from market participants (buyers and sellers), liquidity is said to be low, negatively affecting order fulfillment since it is often accompanied by a widening of the spread. Low liquidity can be observed:
Trading during any of the times or events indicated above could lead to unwanted consequences and losses. Due to pending orders and IF Done orders being fulfilled at the requested price, or at one of the available prices reached by the market, the orders may be fulfilled with a market slip if the price changes at the precise moment when the order is fulfilled.
In some circumstances, non-market quotes can be given during periods of low liquidity.
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