variable spread

A spread that changes with session and volatility rather than staying fixed — roughly 0.1-1.0 pips on EUR/USD in liquid hours but 10-20+ pips at the 5pm ET rollover. The danger is that breakout systems fire on volatility spikes, exactly when the spread is widest.

First used in Lesson 1.3 · Sessions & the cost stack — the lesson that makes this term real.