[Xiao si]

Originally Posted by rocky9281 »

Please help with this question.

How does large institutions enter or exit positions?

I know about the following options:

1 Large block trades and
2. Algorithms

What are the others?

Oh, they're very creative, they can hold a bid or ask to dump or scoop up contracts. Mostly though they just buy gradually at certain levels, from what I've noticed so far. If you check out the tick volume on a chart you can see where the big players are accumulating or distributing. The average volume per tick candle is huge compared to what us little guys are doing.

Cheers,


XS

[Jleon]

The T/S and DOM is a crazy place that is for sure. To be able to see Iceberg and other institutional orders is a big help with any trading method.

I have created Software that works with Ninja Trader and plots these orders on a chart in real time. I have been a trader for 11 years and have always looked at the order flow on the DOM and T/S but a lot of orders have become way to fast for the human eye or are hidden in tiny lots. I have examples and screen shots to help explain. This will help anyone that is trying to understand the market by tape reading.

Have a great day!

[rocky9281]

What is a stale buyer and why should he MUST buy and MUST suffer losses?

If he knows he is about to suffer loss, why didn't he cancel his bids and avoid unwanted fillings?

Lastly,
Can stale buyers buy with:
1.algorithms like TWAP
2.perfect prints on ask
3.double prints

[rocky9281]

If we see a small bid rising up tick by tick, is it true that the bid is actually very large, and is placed by a pro?

For example,

bid qty=158,bid rate=123.11
bid qty=158,bid rate=123.12
bid qty=158,bid rate=123.13
bid qty=158,bid rate=123.14
bid qty=158,bid rate=123.15


See how the bid rose from 123.11 to 123.15, but the size remained constant (158).

1.Should we go long here?

2.Is this a phenomenon that we will search for BOTH in the best bid ,as well as in all the tiers of bid that are below the Best Bid ?

3.Are the reverse things true for ask?

[rocky9281]

Just a general question here. If anybody knows the answer, please help me

Are the stock(etc.) exchanges a source of income for the large institutions?
If yes:
1. What %age of their annual income comes from trading stocks,futures etc?
2. Do u think that these large institutions will quit operating on these trading vehicles someday in the future?