I see two things happening with small orders on forex 'ECN's'
1. I see a market movement start to ensue in the tick-1 minute time frame. A small order (well below $100,000 USD) is entered and the movement hesitates sometimes for minutes before the market trades that order.
2. I see a market movement being fueled by a small order(s) and it extends as the small order(s) keep getting more aggressive.
Both of these make no sense to me when the market makers are posting $1,000,000 USD up minimum size markets... but I am assuming there are times where participants hide their size and are using all sorts of order algorithms, etc.
I get the sense that the market makers will back away from anything or respond accordingly to maximize their edge.
Comments?
