Question
Your broker charges $0.0014 per share per trade. The exchange charges $0.0083 per share per trade for removing liquidity and credits $0.0065 per share per
Your broker charges $0.0014 per share per trade. The exchange charges $0.0083 per share per trade for removing liquidity and credits $0.0065 per share per trade for adding liquidity. The current best BID price for stock XYZ is $66.09 per share, while the current best ASK price is $66.10 per share. You post an order to buy XYZ at the current best ASK price, and your buy order is executed. Shortly after, the best BID and ASK prices move lower (down) by one cent each. Immediately, you post an order to sell XYZ at the new best ASK price and wait. Shortly after, the best BID and ASK prices move higher (up) by one cent each. Your sell order is executed. What will be your net loss per share to buy and sell XYZ after considering the commissions and any exchange fees or credits?
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