Really moving my first baby steps with a short day trading setup. I would like to know if as per today L2 can give an edge in stock execution or is kinda not reliable because wales and market makers try to defend themselves. thank you
Look at order book manipulation. Spoofing and related techniques. https://www.moomoo.com/community/feed/order-book-manipulation-113562514030597
yeah thanks, these are the exact concepts that encouraged me to write this post although your key words are much better to start my research, actually they are really helpful I thought these things were used to mask volume together with derivatives acquisitions and pools to make transactions outside the NYSE and Nasdaq, but was not expecting that also a level 2 there is some manipulation, I do not see the typical retail traders buying an L2 subscription, but after all institutions move the market, so maybe they try do defend themselves rather than catching retail in traps. I am going to deep dive during the weekend, my guess is that on a certain degree L2 gives an hedge if one can read it in a proper way, but still I miss all the theory
Ross Cameron is a believer in watching L2. Even with all the spoofing that goes on apparently he still thinks there's value in it. Who am I to argue with a man who's on pace to make 1m in the month of july alone.
Anchored VWAP to the LOD (if looking short) and vice versa TSLA earlier today, close below AWVAP and trade in that direction next bar. And yes there was also a CB by a penny or two about a dozen bars before, but note it reversed very next bar. Does it work every time, of course not nothing does.
So do you reccomend the famous AVWAP book from Brian Shannon? I enjoyed the multi frame time one from him