Slippage Slippage is the difference between the expected price of a trade and the price it is actually filled at.
What it means
Slippage is the difference between the expected price of a trade and the price it is actually filled at.
Why it matters in live markets
In real markets, conditions like liquidity, volatility, and event risk can change quickly. That can affect quoted prices, spreads, and how orders fill. Understanding this term helps you interpret what you see on the platform and avoid incorrect assumptions when the market is moving fast.
Key points
- Focus on how the term affects price, cost, risk, or execution.
- Relationships can change across market regimes and sessions.
- Use the term to describe what you see, not to assume direction.
Example: You place a market buy at 1.0800 during a data release, but it fills at 1.0803. The 0.0003 difference is slippage.
Related glossary terms
Execution, Execution Quality, Liquidity, Market Depth, Stop Orders
Where you will see it
You will usually encounter this concept in platform quotes, order tickets, trade history, and market commentary. If you are comparing conditions across instruments, check product specifications and note that behaviour can differ by market and session.