#Liquidity101

💧 **#Liquidity101 – Why It Matters in Markets** 💡

Ever tried to sell something and no one’s buying? That’s a *liquidity* issue.

In finance, **liquidity** means how quickly and easily you can buy or sell an asset *without impacting its price*.

📊 **High liquidity** = Tight bid-ask spreads, fast execution, stable pricing (think: major stocks like AAPL or ETFs).

🪙 **Low liquidity** = Wider spreads, slower trades, more volatility (think: penny stocks or niche crypto).

💥 Why it matters:

* Better liquidity = less slippage

* Helps manage risk

* Critical for large orders or active trading

Always check the volume + depth before jumping in. 🚦

\#TradingTips #InvestSmart #FinanceBasics #MarketLiquidity #Investing101