Hello Friends, Everyone knows, how a genuine big limit order on a particular price can act as a good support/resistance point. Lot of money can me made in a stock which has a genuine large limit order on bid or offer side. As day traders, we tend to accidentally find these large orders by surfing through random stocks. I want to ask, is it possible to have a filter which screens out the stocks having large limit orders. Everyone is welcome to share his/her views on its feasibility and how to develop or get this filter.
We used to use "first alert" to trade these strats 10 years ago. Your a bit late to the party what with iceberg and hidden hunter orders. But to answer your question, yes most daytrading scanners can produce this simple alert. Oh, and if you add three more question marks to your thread title you will get a larger response.
They dont scan level II data, therefore wont provide this kind of filter, any other vendor apart from trade-ideas and madscan?
dude, get your sh*t together, they have a large bid, large ask scan already. kind of lame, as it doesn't seems to filter those stocks with BOTH. prob useless for trading anyway.
you are wrong. he is right. size on level 1 quote is not same as level 2 quote. they dont support it.
Hey guys no point in arguing whether trade-ideas has it or not, because i had called them up and they told me they dont provide this kind of filter. Do you guys have any idea of any vendor or either trading software having this large bid or ask scan filter.
this strategy is retarted. there are so many factors which can make this not work, the first thing that comes to mind is the institution that posted this huge block of shares on one single penny can remove their order if they are holding back the stock, then they'll just sell later and everyone trying to get short with the "smart money" gets squeezed. second thing is if an institution is deadset on selling a large amount of stock they will spread their order out over a few different levels...that or get their salesmen to recommend the stock to the wealthy clients.
If the op meant looking for large limits away from the inside, then this is not supported by TI. You'd have to scan every L2 feed to report this. It can be done , but that would be a free consultation, prohibited by law, punishable by forced listening to the Mel Gibson rant and the Jack Hershey Lectures (c) 1975