What is slippage and why does it matter?

Slippage is the difference between the **expected price of a trade** and the **actual price at which the order executes**. It occurs when liquidity at a specific price level is not deep enough to fill the full order. Example: If you expect to buy at **0.5221** but the average execution price becomes **0.5229**, the slippage is **0.0008**. Cleo shows slippage transparently so traders understand how liquidity and order size affect execution.