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Midprice

Trading Term

The midprice of a stock refers to the average price between its current bid price (the highest price a buyer is willing to pay) and ask price (the lowest price a seller is willing to accept). It provides an indication of the stock’s fair market value at any given moment and is often used in market analysis to assess liquidity and price trends. The midprice is calculated by averaging these two prices, offering a balanced view of the stock’s pricing in the market.

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