Unsure about what we mean by bid and ask? This help article breaks it down simply.
If you're reading this article, you may have questions about how order books work and how what we mean by "bid" and "ask". Thankfully this is all pretty simple.
Ask VS bid
An ask is the price sellers are asking for by selling you the asset in question.
A bid is the price buyers are bidding to buy from you.
Any bids and asks in the order book are waiting to be executed, or filled.
When placing a limit order, you can add your own order to the asks if you're selling, or instead add to the bids if you're buying. Then wait until your order is filled.
When placing a market order, you can buy or sell right away from the available asks or bids without needing to wait.
Let's say you want to buy some Bitcoin for SGD. To do that you are required to select the SGD-BTC pairing in the top left of the dashboard.
The default dashboard looks like this:
Scroll down to buy your BTC. You will see options: Limit, Market. For Exp : If you want to trade on limit order. Select Limit.
The points below correspond to the numbers in the image above.
1. Your Balance: SGD balance left in your account.
2. Lowest Ask Price: Lowest selling price of 1 BTC in the market.
- Limit: Your order will be filled at or better than a specified price. Any quantity that is not filled rests on the continuous order book until it is filled or cancelled.
4. Amount BTC: Key in the amount of BTC to buy.
5. Price per BTC: Key in the price to bid for 1 BTC in SGD.
6. Time In Force:
- Good Till Cancelled (GTC): Your order will stay on the order book until they have been completely filled or until you manually cancel them.
- More options to come in next phase
7. Fee: The trading commission fee charged for the order.
8. Total: This will show the total SGD you will be bidding for the amount of BTC you are buying.
9. Buy: Once Amount and Price are filled correctly, you may click on “Buy” to confirm your Total Bid.
Then Confirm your order.
You will see a confirmation window. Check all the details. Please see the trading commission fee here. Click “Confirm” to proceed or “Cancel” to cancel the transaction.
You may view your order by selecting Orders under the dashboard.
Under the Order History, you are able to view your pending and completed orders.