Must read: ECN traders. Level II volume is not what you see.

[finimej]

Must read: ECN traders. Level II volume is not what you see. Very often, we see large volum on the bid and ask side, but when you place your trade, the liquidity is not there, the volum disapread, you blame this on requote, off quote on your broker. It may not is what you think. Someone put the volume there to manuplate the market and disappear when you put your bid.

 

please download this PDF and read.

http://www.themistrading.com/article_files/0000/0348/Toxic_Equity_Trading_on_Wall_Street_12-17-08.pdf

 

and then read this article.

http://pragcap.com/must-read-the-real-force-behind-the-explosion-in-volume-and-volatility

[William1713006271]

Re: Must read: ECN traders. Level II volume is not what you see.

 

Thank you Mam. Seems to be nice info.

[copycat]

Re: Must read: ECN traders. Level II volume is not what you see.

 

Hi Finimej, thanks for sharing. Invaluable information indeed. Don't we all wish have the ability of the AMM be able to "ping" first before pulling the trigger.. 100% success rate.. :)

[traderx4]

This is seriously Interesting and thought provoking read.

many thanks for posting this.