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Strategies & Market Trends : DAYTRADING Fundamentals -- Ignore unavailable to you. Want to Upgrade?

To: Joseph Silent who wrote (16900)	9/21/2003 1:57:06 AM
From: Threei	Read Replies (1) \| Respond to of 18137

Joseph, question a is unclear to me. Trades that trigger a quote? Quote is a bid and an offer, Trade occurs at one of them, or inbetween, or outside (not really common). Trades do not trigger a quote - quote is posted by those that bid or offer a stock. Other traders decide if they want to hit posted quote, ot post theirs inside or outside of the spread. b) traditionally a trade at the offer is considered a buy, at the bid - a sell. Since every trade is actually both, consider it a matter of agressiveness: when a trade goes off an offer it means that the sell side played passively (posted offer and waited for it to be taken) while buy side acted aggressively, taking someone's offer instead of posting a bid. Thus, it's defined as buy.

To: Joseph Silent who wrote (16900)	9/21/2003 3:06:52 AM
From: Jon Tara	Read Replies (1) \| Respond to of 18137

A trade is neither a buy nor a sell - it is simply a trade - and exchange of stock between a buyer and a seller. Unless, of course, it is a trade that is in fulfillment of an offering. In that case, the market has definately bought. :) As far as whether a quote is listed before the trades that trigger it are listed... It may or may not be. First of all, a trade need not be "triggered" by a quote. Makets typically disseminate two logically - and quote often physically -seperate streams of data. Quotes, which are offers to buy or sell securities - and trades - or reports of trades in securities. These can and do become discombobulated - so it can sometimes become difficult to square quotes with reported trades. I recall, for example, a few years ago that it was quite typical for NASDAQ trade data to lag quote data by as much as a minute around the open.