Has anyone noticed a change in how market makers execute limit orders starting Monday 12/9/24? For example to buy at the bid price. I used to get filled rather quickly, but now not at all unless the price passes through.
that is because in the past when you bought at the bid, you were waiting to be hit by another individual sellers. Now with zero commission, the seller’s order will first be redirected to the mm such as citadel to take the spread. So zero commission hurts the individuals
time of year all volumes are way off - i have just about stopped trading - cause anyone with money is not working - they are enjoying the long holidays from turkey day to new years. so in light markets you get nothing but committed pro's who rape rob and pillage all they can on foolish addicted individual amateur traders. "bring on the paper" the war cry of wolves...
1. Though every trader would LIKE to.... you don't get to "buy at the bid" unless the MM decides to take your fill. (Generally, not likely) 2. You may place your order at the bid, but it usually won't fill until the market dips so that "your bid has become the market's ask". (You may place your order between the bid and ask, but it likely won't be filled unless the MM decides to take it.) 3. Unless the market trades THROUGH your price, you can't count on being filled. (There is a queue of orders... sooner ones are higher on the list to be filled. That is, your order may be "down the list of priority at your price".. but the market moves away from your price before you get filled.... though having filled others who were in front of you in the queue.) IOW... Bottom Line... you always (almost always) have to pay the spread... buy at the ask, sell at the bid... both ways.
Orders don't rest on the book of the mm. They get switched instantaneously or matched for the best fill. Furthermore you didn't even respond to the OP's question which referred to 12/9/2024. Obviously you are just stating your long held bias which many investors and traders don't agree with.
every time when I sell with market orders, the other party is mm which provides a little bit above bid price. so you think it does not affect individuals sitting on the bid?
Helps to say what you are buying and selling and what time of trading day and through which exchange. Deeeeeeee tails.