Slippagejo bhav chaha aur jo mila, uska farak

Slippage is the gap between the price you intended and the price you got. It happens because prices move between the moment you decide and the moment the exchange matches your order, and because the order book may not have enough quantity at the best price. In a liquid stock like SBI, slippage on a market order is usually a few paise. In a thin option or a small-cap, or at the open after a gap, it can be several percent. Suppose your stop loss on SBI is at ₹790 and the stock gaps down to ₹775 at the open; the stop triggers and fills near ₹775, a ₹15 slippage on every share. Backtests that ignore slippage overstate results, sometimes turning a winning strategy into a losing one. Reduce it with limit orders, liquid instruments and by avoiding the first minutes after the open.