ICE Widget: Market Depth Real-Time Display (2024)

FAQs

How to see the depth of market in Thinkorswim? ›

In order to view the Market Depth for a symbol, click on the Symbol Actions button and choose More info on and then Market Depth for. The Market Depth will be displayed on the Left Sidebar even if it wasn't previously added there.

Market depth gives a gist of real time market activity in a particular security. It gives an idea of the levels at which the orders are being placed. To view the market depth for a particular scrip, search for the scrip to go to the scrip info page.

Real-time market depth data allows traders to profit from short-term price volatility. For example, if a company goes public and begins trading for the first time, traders can stand by for strong buying demand, signaling the price of the newly public firm could continue an upward trajectory.

The Market Depth widget displays real time orders for the available books and the size of each order for the entered symbol. View quote activity by price level, with detailed insight into price action and order imbalances.

Market depth, also known as depth of market (DOM), refers to the amount of liquidity and volume within a security. It can be evaluated by examining the order book of a security, which shows a list of pending orders to buy or sell at different price levels.

Depth of market data is also known as the order book since it consists of a list of pending orders for a security or currency. The data in the book is used to determine which transactions can be processed. DOM data is available from most online brokers for free or for a small fee.

The calculation for market depth is simply the cumulative volume of the base asset at various percentages from the mid price. For example, the “Bid Volume 10%” for BTC/USD on Coinbase would represent the volume of all bids for BTC falling within 10% of the mid price at which the order book snapshot was taken.

Summary. Market depth refers to the ability of the market to sustain a substantially larger order without making an impact on the security's market price. It also refers to the number of shares of a given company that may be purchased without creating a significant level of price appreciation of the particular stock.

Market depth charts do show real-time data but it comes with some limitations. For example, the tick size of the data will limit the precision based on the decimal points.

In simpler terms, it shows the volume of buy and sell orders within a 2% range of the current market price. This depth gives traders valuable insights into the market's liquidity and the current sentiments of other traders.

What is average price in market depth? ›

The average price displayed on the market depth shows the average trading price of a stock at a given time during the day. It is also called Volume Weighted Average Price (VWAP). To learn more about VWAP, visit zerodha.com/varsity/chapter/supplementary-notes-1/#vwap.

If there is a greater number of buyers than sellers (more demand), the buyers bid up the prices of the stocks to entice sellers to sell more. If there are more sellers than buyers, prices go down until they reach a level that entices buyers.

You can use the Depth Chart to indicate a specific price point at which you would like to place a limit or stop-limit order. Once you have selected an order type, simply hover over either side of the chart based on the order you wish to place (buy or sell) and choose a specific price from the chart.

* You can't use Depth Effect on wallpapers with widgets.

Markets in Stocks/Depth of Market

Another useful gadget is the Markets in Stocks or Depth of Market feature. This shows you the number of buy and sell orders at different price levels, giving you a deeper understanding of market sentiment.

The X-Axis measures the price, while the Y-Axis measures the number of orders. The green area on the left represents the lowest prices that customers are looking for. The red area on the right represents the highest prices sellers desire. The split represents the price levels from the most recent trade in the middle.

In Futures mode, the interface displays the Product Depth Curve which is a graphical representation of the market price of each contract month for any given futures product. In mathematical sense, it plots price over the expiration month of the product.

Market depth refers to the ability of the market to sustain a substantially larger order without making an impact on the security's market price. It also refers to the number of shares of a given company that may be purchased without creating a significant level of price appreciation of the particular stock.