Market Structure
Volatility
Volatility measures the rate and magnitude of price changes in a financial instrument. High volatility means large price swings; low volatility means stable prices.
Slippage
Slippage is the difference between the expected price of a trade and the price at which it actually executes. Common during high volatility or low liquidity.
Order Book
An order book displays all pending buy and sell orders for an asset at various price levels, showing market depth and supply/demand.
Liquidity
Liquidity describes how easily an asset can be bought or sold without affecting its price. High liquidity means tight spreads and fast execution.