What’s Level II Market Data? | Robinhood (2024)

FAQs

What is level II market data? ›

Level II is essentially the order book for stocks that trade on the Nasdaq exchange. Orders are placed through many market makers and other market participants. Level II displays a ranked list of the best bid and ask prices from each of these participants. This gives you detailed insight into the price action.

Robinhood Gold members get Level II market data from Nasdaq. This won't help all Robinhood users. But it's useful if you're an active trader who uses technical analysis. You may find seeing the full list of current bid and ask prices for a stock helpful.

The Level II price chart represents a current snapshot of the resting limit orders (the different bids and asks) for that security. If one of the open orders on the Level II chart executes, it'll become a trade and appear as a data point on the price chart.

Level 1 data, also known as Top of Book data, includes the best bid and best ask. If you are chart trading, this is the data you are using. Level 2 data, also known as Depth of Market data, includes 5-10 of the best bid and ask prices so you can see sell and buy orders waiting to be placed.

thinkorswim mobile: Enjoy an optimized trading experience on the go. You'll get Level 2 streaming quotes, customizable charting tools, and additional options trading features. Plus, just like on TD Ameritrade Mobile, you can quickly and easily view your balances, positions, and more by scrolling up and down.

The highest current bid prices in order from highest to lowest. Each entry shows which investor placed the order, how many they ordered, and the price they paid. The lowest current ask prices in order from lowest to highest. Each entry shows who placed the order, how many were purchased, and at what price.

You can access advanced Level II market data if you meet certain requirements—Robinhood Gold offers Level II quotes as part of its $5 a month fee. Fidelity's advanced Active Trader Pro platform, which features Level II data, is available if you make at least 36 trades in a 12-month period.

The process for how to get Level 2 approval at Robinhood is similar to the process at tastyworks. Log into your account, then choose the “Account” button on the top right corner of the screen. Choose “Settings”, then scroll to the “Options Trading” section. Select “Enable”, which will prompt a series of questions.

Level 2 data is important for traders because it shows the full range of open orders for a stock, not just the current best bid and ask price. Using Level 2 data, you can identify potential trades before they become apparent on technical charts or get additional information about a trade you have planned.

In the DOM window, you can have level 2 data for the traded symbols from the following brokers: Afterprime, Alor, AMP, Binance, Blue line Futures, Bitget, Bybit, CFI, COMPOSITEDGE, Dorman Trading, FXOpen, GBE Brokers, Herenya, IBKR, iBroker, Ironbeam, Motilal Oswal, OKX, Optimus Futures, Phemex, StoneX, Tickmill, ...

What is the difference between Level 2 and Level 3 Robinhood? ›

With a Level 2 designation, you can execute options trades like: Long calls, Covered calls, and Long puts. With a Level 3 designation, you can execute all of the above trades, along with limited risk spreads like: Credit spreads, Debit spreads, Iron condors, and Iron butterflies.

Depending on the time of day, Robinhood partners with either Nasdaq Last Sale or BOATS (8 PM-4 AM ET) to get the real-time last sale prices. With more liquidity than any other US exchange, the Nasdaq is one of the most accurate sources for real-time trade data.

Level 2 is a generalized term for market data that includes the scope of bid and ask prices for a given security. Also called depth of book, Level 2 includes the price book and order book, listing all price levels of quotes submitted to an exchange and each individual quote.

Level III allows institutions to enter quotes, execute orders, and send information. Because the level III service offers a high level of market depth, it is restricted to registered Nasdaq market makers. Level III quotes are not available to individual investors or traders.

TradingView real-time data is available for most futures markets and exchanges. However, if you want to access Level 1 or Level 2 data, you'll need a connection to a brokerage.

Level 2 is restricted data that is available for disclosure, but only under strictly controlled circ*mstances. Such information must typically be restricted due to proprietary, ethical or privacy considerations.

Level 2 and Level 3 card data (also known as Level II and Level III) is a set of additional information that can be passed during a credit card transaction. Level 2 and Level 3 card data provides more information for business, commercial, corporate, purchasing, and government cardholders.

Level 2 data gives you full access to the order book underneath a share's buy and sell prices. So, while level 1 data tells you what price you can buy and sell for, level 2 data also tells you what price everyone else in the market is buying and selling that same asset for.

Level 2 data is a second layer of market data that shows detailed market information for securities traded on Canadian and U.S exchanges. It shows the depth of a market, including the order sizes that are available at each of the available prices and all orders that are currently pending for the market.