Hi

In the ATM article, it is stated, "As I'm buying I also need to take the spread into consideration and for this example I'm assuming a 3 pip spread."  I'm not sure how the spread is applied.  My understanding is that the spread is the difference between the bid and offer price of the instrument.  So, in this case, the spread is three pips.  Now, why do we only factor in the spread on the buy?  Shouldn't we also factor it in if we are selling short?

 The price we are using as our entry is the price which is half way between the bid and offer, yeah?

 Thanks

Chris