SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : The Final Frontier - Online Remote Trading
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: LPS5 who wrote (8054)3/31/2000 7:36:00 AM
From: Robert Graham  Read Replies (1) of 12617
 
I do not understand what is meant by liquid issues. Does this mean the issue is liquid every hour of every day of every week of every year? I do not think this is true. Even the SPOOs have their more illiquid periods of time during the day. And since it is the large money that moves the market, would they feel comfortable entering a market where there is no firm quote? No one to work their order with no anticipation of what the average price will be? Or how about large customers to put on or take off their positions at will? How about during news events that can cause large swings in price? For liquidity needs to be considered from *both* directions of the trade, a sale and a purchase. This is one item I find that many traders do not seem to consider, that for a market to be liquid, there needs to be traders who are trading in both directions. I think as a result this apparent "liquidity" would have more periods of time where it dries up punctuated by large swings when money starts to enter the market trading both ways. And I think this can happen in the more liquid markets. Not to the best interest of the day trader.

Just some thoughts. Comments encouraged. :-)

Bob Graham
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News