Is the DOM worthless?

Discussion in 'Trading' started by TradingPilot, Oct 14, 2008.

  1. I think the DOM is worthless for a small trader.
    The only purpose I see with it is as a method to gauge liquidity at certain price levels.
  2. mike007


    It depends, its all about what you are comfortable looking at. If you prefer an L2 style or a DOMS style. Whatever makes you money. I like order management using the DOMS approach.
  3. I agree in that the DOM is useful for managing the trade.

    But I can't find a use for the limit order information at the price depths.
  4. Tums


    Maybe if you look at it from a different light...

    <img src="">
  5. Of course its not worthless, its just another means of viewing data.
  6. I only find it useful when huge size shows up because you know where a handful of inexperienced traders just got positioned... being able to judge if its real size or not definitely has an edge.