#Liquidity101 — this topic, in the context of finance and trading, refers to the concept of liquidity.

Liquidity is the ease with which an asset can be bought or sold without significantly affecting its price. It reflects the activity and efficiency of the market.

For example, in a liquid market, such as a stock exchange, there are many buyers and sellers at any given time. This allows transactions to be executed quickly and without delays. In contrast, in an illiquid market, there are few buyers or sellers, which can lead to price instability and prolonged transactions.

The topic Liquidity101 is used in various contexts. Authors discuss how liquidity affects trade execution, how to assess it before entering a position, and what strategies to use to minimize slippage.