Floating spreads and bid–ask price dynamics in Bitget TradFi (MT5) trading

Floating spread mechanism under the ECN model

In Bitget TradFi (MT5) trading, the spread mechanism follows an ECN-like model. The platform does not add extra markups to the bid–ask spread, allowing traders to access raw market prices directly. However, these spreads are not fixed. They are floating spreads that vary according to market conditions, including:

• Market volatility: When volatility increases, prices fluctuate sharply over short periods. During such times, spreads typically widen. This reflects higher uncertainty and risk, with the market compensating by widening spreads.

• Market liquidity: Liquidity measures how easily assets can be bought or sold at fair prices. When liquidity decreases due to fewer participants or lower trading volume, spreads tend to widen, as counterparties are harder to match.

• Market supply and demand: Shifts in supply and demand also affect spreads. When supply exceeds demand, sellers may lower ask prices while buyers lower bids, narrowing the spread. Conversely, when demand is strong but supply is limited, the difference between bids and asks widens

Detailed explanation of bid and ask prices in TradFi (MT5)

When viewing historical candlestick charts in MT5 on Bitget, note that the charts display bid prices only. This characteristic leads to the following:

• When placing a buy order or closing a short position, execution occurs at the ask price, which may differ from the bid price shown on the chart.

• As a result, traders may find that executed order prices do not always match chart prices. This happens because historical data records only bids, not asks, so the chart cannot fully reflect actual execution prices.

How to display the ask price line in MT5 charts

To help traders monitor prices more comprehensively in real time, Bitget MT5 allows you to display the ask price line on charts. Follow these steps:

1. In the MT5 client, right-click on the chart you want to view. A menu will appear. Select Properties, or simply press F8 on your keyboard to open the chart properties window.

2. In the properties window, select the Common tab.

3. Under the Common tab, check the box for Show Ask Price Line.

4. Click OK at the bottom of the window to apply the changes.

After completing these steps, the ask price line will appear alongside the bid price line on your chart. Please note that the ask price line is for real-time display only and will not be stored in historical chart data.

Key takeaways

• Market conditions directly affect spreads on Bitget TradFi (MT5). During volatile periods, spreads often widen, so traders should monitor them carefully to plan transaction costs effectively.

• Historical candlestick charts in MT5 display only bid prices. This can cause confusion if traders rely solely on chart data for trade execution analysis. Always combine chart data with other information when making trading decisions.

• By enabling the ask price line, traders gain clearer visibility into real-time price movements, supporting better-informed decisions and more effective strategy adjustments.

By understanding floating spreads and bid–ask dynamics in Bitget TradFi (MT5) trading, traders can better navigate market fluctuations, improve execution accuracy, and enhance overall performance.