T & S interpretation

Discussion in 'Technical Analysis' started by erd0c, Aug 23, 2007.

  1. erd0c


    I have a question regarding prints and execution. How do you interpret the following:

    Nasdaq Stock:
    On the Bid (OTB)
    On the Ask (OTA)
    Neither bid/ask (NBA)
    18.65 100 OTB
    18.65 100 OTB
    18.65 200 OTB
    18.65 100 OTB
    18.65 500 OTB
    18.65 300 OTB
    18.641 1231 NBA
    18.64 100 OTA
    18.64 200 OTA
    18.64 600 OTA
    18.64 200 OTA
    18.65 100 OTB
    18.65 1000 NBA
    18.65 1200 NBA
    18.64 100 OTB

    And this action goes back and forth.
    Small lots on the bid/ask
    but when the spread widens, relatively larger volume comes in.

    Forgive me if this is VERY basic.

  2. erd0c


    I think I may have found my answer on investopedia:

    "By looking for trades that take place in between the bid and ask, you can tell when a strong trend is about to come to an end. This is because these trades are often placed by large traders who take a small loss in order to make sure that they get out of the stock in time."

    My next question is:
    is it true for bottoms as well as tops?

  3. erd0c


    Thank you for your email. Trades that are negotiated between institutions or are
    reported late are two examples of how a trade might not execute or are reported
    outside the bid or ask. Please let us know if you have any further questions
    regarding your account.


    Jon M.

    Scottrade, Inc.