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To: uu who wrote (10460)3/3/1998 2:44:00 PM
From: Mark The Trader  Read Replies (1) | Respond to of 25814
 
Addi,

Your question can be answered by an example:

40 X 40.25

Bid size = 10 ask size = 40

This means that there are currently 4000 shares for sale at $40.25
but only 1000 share to buy at $ 40. In the auction market this means the specialists are looking to match up buyers and sellers. This bid size , ask size is not a true indicator , because not all buys and sells are posted in that number. Dont try to read into this to much ,
If the stock is very heavy on this ask side you will usually see the ask drop so that buyers can be matched up . What you see or get from your broker for a quote is only the current bid /ask , there is a lot more that you cant see unless you have a bridge terminal(or other broker type terminal) , on that you can see all that is currently posted for bid ask at different prices . The key word is posted , its kinda like showing your hand in a card game :-]

Mark



To: uu who wrote (10460)3/3/1998 2:48:00 PM
From: DavidG  Read Replies (1) | Respond to of 25814
 
Addi,

With a high ask size and low bid size you can expect the stock to drop
and with a low ask size and high bid size expect the stock to rise.

The more bidders(willing to buy) than askers(willing to sell) creates an imbalance...kind of like supply and demand.

size is in hundreds of shares.

Hope this helps.

DavidG