NYSE LiquidityQuote Experiences???

Quote from DaveN:

OK, sorry to keep posting one after another here,..


but as I'm reading through the above site, I realized a potential "gotcha" that would be good to stay aware of.

The Liquidity Quote can just be a summation of what's in the book. It "may" contain additional shares from the crowd or specialist, but then again it may not.

So, at least for my setup, I'll have to do some fast math/estimating to see if there are additional shares being bid or offered at that level. It may just be a repeat of what I'm already seeing in the book.

For example, looking at JPM right now, (midday doldrums), it's trading at the point (36.00) and the offers in the book show 1800 at .02, 1200 at .03, 2500 at .04, and 2300 at .05, with a liquidity quote of 13,200 at .05.

So, that tells me there's currently 7800 offered in the book, with another 5400 coming from the floor and specialist.

Watching this for a while shows that it will bounce all over the place--right now, it's down to 2200 shares by the crowd/spec...

I guess the value of this, and my ability to do fast comparisons, remains to be seen.
More...


whats been your experience with this so far?
 
its as if it never happened for the most part...and thats coming from a 1 stock big cap microscalper.... Its nice to have the nx key working again
 
i havent noticed anything really either, but my panties are still bunched... but seriously i was wondering if dave noticed anything by being able to guage how much crowd/specialist participation in the LQ
 
No, I agree with everyone else who posted. Not any change that I can see. That size does change around during any given time span, but so far, it doesn't seem to be affecting the stock at all. Perhaps in some less liquid issues, this will have a greater effect.
 
There's one thing I want to add about Liquidity Quote (LQ) that I am finding very useful. Mine updates continuously. It appears as part of the NYSE Open Book, which refreshes every ten seconds, but in the interim, the LQ will be constantly changing.

So, even if it's not showing any added specialist or floor size, I can see what's happening in the book in realtime. For example, LQ is at the dime and the stock is trading at .06. As it trades .07 and .08, I can see the LQ's size increasing, so I know that the offers at .09 and .10 are growing. That's useful information, and it's in realtime.
 
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