Support Board
Date/Time: Fri, 31 Jan 2025 03:16:42 +0000
Post From: Total Bid and Ask Size
| [2015-12-29 02:50:35] |
| User791263 - Posts: 151 |
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This Total Depth per side might be Useful, but Bid-Ask levels far away from the inside pair or 2 to 5 levels can be counter-intuitive and misleading. I applied it. It seems to move as fast as trades, scrolling faster than the chart. I think you said it updates each time a trade changes from bid to ask or price changes (ie: based on actual trades?) Each bar on that study bar graph seems to be the total at the trade. The filter is hard to understand. Looking at After-hours, total 540 Ask and 621 Buy on the DOM, the bars of total depth do not go away when the filter is set to 700 or 800. How can that be? Bid Ask levels far away from the inside bid-ask are misleading for scalpers. Those are set by day traders who often go 4-6 ticks or more away, to a pivot level. etc. They may come back to cancel, move or change the order as the price gets closer. There is no point in any indicator-study that does not work fairly well, for various time-frame traders. (Not one-size fits all). REQUEST: I surmise that the most useful depth info for fast traders is totals from levels nearer the price, to 4 or 5 levels out. How hard would it be to allow an option for "levels from inside bid-ask" ? Please consider an option to sum 2 to 5 levels, selectable. Bidders closer to the inside bid-ask are ready to buy or sell NOW, not MAYBE in 20 minutes. Those totals we could test and likely USE. I've found inside bid-ask ratios to be useful, but I've been hoping for a way to total 3-5 levels without using a spreadsheet. Your study is almost there. If you used an array of 10, allowing a selectable portion of the array might not be difficult? |