![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/BLOG-THUMBNAIL-1-11.png)
Market Depth
What Is Market Depth
Bago tayo dumerecho sa kung ano ang market depth ay daanan muna natin ang basic for the sake ng mga newbies.
Heto ang BID and ASk ng ALI.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/image-8-2.webp)
Ano yan?
Sa window mo na yan makikita ang mga gusto bumili at gusto magbenta ng ALI na stock.
Color green para sa mga gusto bumili at color red para sa mga gusto magbenta.
This might seem pretty basic for a trader na matagal na but sa mga newbies na nangangapa pa lang ay complicated ito dahil pwede naman na buy and sell pero bid at ask ang nakalagay.
Well, bakit nga ba BID at ASK? Kalimutan mo muna ang ALI na stock.
Sabihin nating may isang bottle ng mineral water ako na hawak.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/87ca33727a1decaaefedf4ec4d35b9bb.jpeg)
Nais ko itong ibenta. Mag iisip ako ng presyo na sa tingin ko ay nararapat sa value ng mineral water ko.
Let’s say ibebenta ko siya sa halagang 50 pesos.
Yung 50 pesos ang asking price ko or offer price ko.
Tatlo kayo na magkakaibigan. Gusto ninyo bilhin ang mineral water ko.
Yung unang kaibigan mo ay nais niyang bilhin ang mineral water ko sa halagang 45 pesos. Yun ang bid niya.
Ang isa mo naman na kaibigan ay nagbid sa 48 pesos.
Ikaw ay nagbid sa 50 pesos. Ikaw ang pagbebentahan ko kasi 50 pesos ang bid mo na siya naman asking price ko.
Nagkasundo tayo. Nagkaroon ng transaction.
Nakuha ko ang 50 pesos mo. Nakuha mo ang mineral water ko.
Balik natin sa ALI.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/image-8-2.webp)
May iba’t ibang bid price at may iba’t ibang ask price.
Lima na bid price at lima din na ask price.
Tawag nila sa ganyan ay normal bid and ask screen. Minsan level 1 ang tawag nila.
May ibang brokers gaya ng Timson, Mytrade at iba pa na may tinatawag na level 2 or real market depth.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/image-9.webp)
Mas maraming bid and ask ang makikita mo compared sa 5 lang sa iba.
(The market depth picture of ALI is from the past. Ang purpose nito is to show you how it looks and not reflect the current price of ALI or current market depth.)
Supply And Demand
May iba’t ibang gamit ang traders sa market depth.
They can see supply and demand beyond sa nakikita ng mga walang market depth.
Alam nila saan may malalaking bid of malalaking ask.
Nakikita nila saan ang support at saan ang resistance.
It’s an edge over traders na walang market depth.
It’s An Edge
Having a market depth is an edge.
Well, that’s true until you start understanding how trading works.
WALANG REAL TECHNICIAN OR CHARTIST ANG GUMAGAMIT NG MARKET DEPTH.
Let me explain why.
This is ALI chart.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/ali_2024-07-14_01-08-40.webp)
This is ALI market depth.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/image-8-5.webp)
This is the chart of ALI’s market depth.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/ali_2024-07-14_01-09-56-1.webp)
“Bakit blank?”
Well, all those bids and ask orders are just orders. Lalabas lang sila sa candle kapag naexecute na sila. Since orders lang sila na nakapila ay di mo sila makikita sa chart.
Any technician na magsabi sayo na market depth matters is not a technician/chartist.
Suppy And Demand
This is the market depth.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/image-8-6.webp)
All those bids and ask do not really represent the market.
They are not the real supply and demand.
They may represent a part of the market but not the market as a whole.
Hindi lahat ng buy at sell ay ipinipila.
Di ka ba nagugulat na kadalsan ay may bumibili na lang bigla ng shares or may nagbebenta na lang ng shares na di mo naman nakita ipinila?
Walang rule na need mo pumila to buy and sell stock.
You do that lang kapag may gusto ka na price na iba sa current price ng stock at the moment.
Edge Over Traders
Out of all the reasons, I think ito ang funniest.
What edge?
Think about that. If your broker lets you see market depth.
How much more sila na sila mismo may ari?
How many brokers ang nakakakita ng market depth?
ALL OF THEM!
2 Things
Dalawang bagay lang ang ibinibigay ng market depth.
The first one is the false sense of edge over others.
The second one is the emotional roller coaster.
Yung first one ay di gaanong nakakasira sa trading mo.
Yung second one ang sumisira sayo na di mo namamalayan.
Let me show you what I mean.
Heto ang bid and ask ni MRC sa COL.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/image-11-1.webp)
“Uy may malaking bid na di naserved grabe.”
“Baka may alam sila na di natin alam.”
“Tara bili tayo.”
Now, take a look at this.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/image-12-2.webp)
“Hala anlaki ng harang.”
“May alam yan na di natin alam”
“Tara benta tayo.”
Prone ka sa market misinterpretation. You are way too vulnerable kasi nakikita mo mga levels na mas madami.
Now, balikan mo ang feeling nung may nakita ka na malalaking bids.
Natuwa ka diba?Naexcite. Inisip mo bumili or maghold pag may hawak ka na.
Di mo man pansin pero pinasok ka na agad ng greed.
Balikan mo ang nafeel mo nung may nakita ka na malaking sell order.
Natakot ka diba? Parang magbebenta ka kapag may hawak ka at parang di ka bibili pag wala.
Market depth actually brings unnecessary emotions sayo na ikinasisira mo.
Ang matindi pa ay di mo ito pansin.
The lesson?
Well, stay away from bid and ask or market depth.
Hayaan mo sila.
Sa chart mismo kasi ke ilang million pa na bid yan eh di lalabas yan sa chart pero the moment na totoong may bumili ng millions ay matic kita mo yan sa chart.
Lalabas yan.
Walang ibang pupuntahan yan.
Never let your emotions get the best of you.
Stay off greed. Stay off fear.
Take control of your emotions.
Marami pang mga tricks, tactics at diskarteng kakaiba ang naghihintay sayo sa Technical Analysis Summit.
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/screenshot_20240713-230532_facebook-1.webp)
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/screenshot_20240713-230318_gallery-1.webp)
Avail it here:
https://form.jotform.com/232946879623472
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/BLOG-THUMBNAIL-2-14-75x75.png)
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/07/BLOG-THUMBNAIL-37-75x75.png)
You May Also Like
![](https://blogs.tradersdenph.com/wp-content/uploads/2024/03/BLOG-THUMBNAIL-25-4.png)
SCC VS LTG Dividends
March 25, 2024![](https://blogs.tradersdenph.com/wp-content/uploads/2021/09/Not-Yet-That-Day.jpg)
Protected: Not Yet That Day
September 23, 2021![](https://blogs.tradersdenph.com/wp-content/uploads/2023/07/BLOG-THUMBNAIL-71.png)
You must be logged in to post a comment.