market makers

S

samuritrader

I've asked this question many times and haven't got an answer

maybe somebody can shead some light on this for me.

I'm wondering if at a market making firm, does one guy trade the same stock all day long, everyday?

say at BRUT,CINN, or whereever, is one guy sitting at a computer and trading the same stock?

I have been trading IPIX in and out for about a month or more and the other day it trade over 50 million shares and was moving pretty quick, I can't imagine that the guy working for CINN< BRUT or any other mm could have kept their eye on any other stock

I also hear about the AXE, just wondering if he changes depending on orders or is the AXE the same everyday depending on the stock?

I'm asking mostly for nasdaq stocks

Thanks
 
BRUT and CINN (ISLD) are ECNs, NOT market makers.

there's lists of the 2 available on the internet...some level 2 lets you see how many times the MM hasbeen on the inside best bid / offer....
 
Do some searches here in ET for the subject you seek. Plenty has been written. For you to even be trading(let alone ipix) with such a paper thin knowledge level is folly.

In short, with an MM it is usually the same guy trading the stock throughout the day (I'm sure there are breaks taken). However as pointed out by others, the symbols that you mention are NOT market makers but rather ECNs where there are literally thousands of participants.

The AXE is simply slang for the player of the moment with the most market impact capability. This loose designation can change from hour to hour or stay the same for weeks. It is rarely clear/easy to designate the AXE for long and in fact three traders can and will often come to three different conclusions regarding just who the AXE is at any given time.

Again, absolute madness for you to be trading at all with your thin and outright incorrect knowledge. For my sake, keep it up. For yours, stop and get a decent education.

JB


Quote from samuritrader:

I've asked this question many times and haven't got an answer

maybe somebody can shead some light on this for me.

I'm wondering if at a market making firm, does one guy trade the same stock all day long, everyday?

say at BRUT,CINN, or whereever, is one guy sitting at a computer and trading the same stock?

I have been trading IPIX in and out for about a month or more and the other day it trade over 50 million shares and was moving pretty quick, I can't imagine that the guy working for CINN< BRUT or any other mm could have kept their eye on any other stock

I also hear about the AXE, just wondering if he changes depending on orders or is the AXE the same everyday depending on the stock?

I'm asking mostly for nasdaq stocks

Thanks
More...
 
Quote from gaj:

BRUT and CINN (ISLD) are ECNs, NOT market makers.

there's lists of the 2 available on the internet...some level 2 lets you see how many times the MM hasbeen on the inside best bid / offer....
More...


ecns or market makers, I don't really care , I'm just trying to find out how its done

how it works at the site they trade at?

does one guy sit and trade IPIX ALL DAY AT BRUT OR any other place?

when the level 2 is running and brut is on both sides of the stock and any other ecn or cinn(isld)

whose putting on the trade, is there more than one trader?

is it one guy at a computer trading the same stock all day

I understand cinn is isld, but when I put my shares out at limit, i'll see them show up on the screen , if its not a quick moving stock, but when I throw them up at market, somebody has to handle the trade, what i'm trying to find out is how its done

My question is on the level 2 there are mm and ecns on both sides of the trade, I don't care which one it is, I'm just trying to find out if one guy from each place is trading the stock?

What i'm asking is : when a guy shows up for work on monday at any of these places, goldman, cinn, brut, arca, or wherever, retail or institution

does he sit at a computer and just trade IPIX, and does he do it on tues, wed , thurs

I know theres 1000S of stocks and each place can't have one guy trading one stock but i'm wondering if one guy gets a fast moving stock and just trades it for a year or so and know all the support and resistance areas and all the techs for that stock?
 
Quote from samuritrader:

does one guy sit and trade IPIX ALL DAY AT BRUT OR any other place?
More...

You're not listening, so this will be my last post to you. Your above question was already answered in my previous post:

>the symbols that you mention are NOT market
>makers but rather ECNs where there are literally
>thousands of participants.

Do some homework rather than expecting to be spoon fed. This is the most basic stuff that has been written about ad nauseam.

Best wishes.

JB
 
MM's use ecns just as retail, prop or any other trader. Market makers controling a particular stock is an idea of the past. It doesn't work that way these days. The answer to your question is yes one guy is usually responsible for a stock at a 'market making' house but he does less volume then most big traders unless for some reason he's getting in house order flow.

On another note each stock has a 'personality' and it's not one person but the sum of all the traders put together. Try not to focus on 'who' is making the stock move, but instead on the stocks movements.

scalp
 
Dude you need to take Turok's advice and get some basic education about direct access trading. there are huge differences between MMs and ECNs and some basic education would obviously clear up a lot of you questions.

In the meantime however here is a quick primer. ECNs such as ISLD do not employ people to handle orders on stocks. ECNS are just electronic limit order books and order matching engines (ie computers) they don't make markets. They have no obligation to be on one side of the market or the other they just post and match orders electronically hence the term Electronic Communication Network (ECN). Market Makers (MM)on the other hand do employ people to handle orders in individual stocks and as MMs they have certain obligations if the make markets in a particular stock. Ever posted a bid or an offer with a MM? Of course not because you can't (unless of course you are a client), they are not an electronic order books, they are actual human traders posting bids and offers. Of course a lot of MM trades are automated as well with things like auto refresh and direct execution liability but there are individuals charged with the responsibility of making markets in individuals stocks.

This whole subject is very basic but I suggest you do some research on the topic (read at least 1 book on direct access trading). You may just see things in a whole new light.

Just out of curiosity, have you made money trading IPIX, what kind of stops are you using and what platform are you trading on?

Good Luck!
 
Quote from Turok:

Do some searches here in ET for the subject you seek. Plenty has been written. For you to even be trading(let alone ipix) with such a paper thin knowledge level is folly.

In short, with an MM it is usually the same guy trading the stock throughout the day (I'm sure there are breaks taken). However as pointed out by others, the symbols that you mention are NOT market makers but rather ECNs where there are literally thousands of participants.

The AXE is simply slang for the player of the moment with the most market impact capability. This loose designation can change from hour to hour or stay the same for weeks. It is rarely clear/easy to designate the AXE for long and in fact three traders can and will often come to three different conclusions regarding just who the AXE is at any given time.

Again, absolute madness for you to be trading at all with your thin and outright incorrect knowledge. For my sake, keep it up. For yours, stop and get a decent education.

JB
More...


as for my knowledge:

I know when to buy IPIX and when to short it all day long, believe me , your not taking a penny of my money, I'm just wondreing if the mm are trading like me, the same stock over and over again, knowing all the support and resistances, trading off the charts like I am, don't worry about me, I don't your as good as i am
 
Market Makers (MM)on the other hand do employ people to handle orders in individual stocks and as MMs they have certain




thats all I wanted to know



and yes I'm taking money out of ipix everyday and have been for over a month

and I will be for a long time
 
This whole subject is very basic but I suggest you do some research on the topic (read at least 1 book on direct access trading). You may just see things in a whole new light.

Just out of curiosity, have you made money trading IPIX, what kind of stops are you using and what platform are you trading on?

Good Luck!


I trade with ameritrade and most of my orders go thru cinn I believe from watching the level 2

as far as the subject being basic, you'd be amased how many times I've asked this question, and never get an answer, people try to tell me about ecns and level2, but all I wanted to know was what you said, some market making firms hire people to make a market in one security. I didn't say i wanted to buy thru them just wanted to know if what I thought was true, was true
 
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