Order Book
Last updated
Last updated
Order Book -- is a list of orders to buy and sell a certain asset, structured by price level. The order book contains interests of buyers and sellers. The order book is a dynamic connection between buyers and sellers, as here the list of unexecuted orders for a certain asset is represented in real time. This is important trading information that promotes transparency.
The order book consists of buy and sell orders, as well as price and
volume.
1. Buy orders contain information about the buyer, including orders and desired amount to buy.
2. Sell orders contain information about sellers, including all offers and desired sale amount.
3. Each price level demonstrates the number of orders available (size), in which participants are willing to buy or sell an asset.
The order book helps traders make reasonable decisions. So, they can see the imbalance of orders, which can tell about the direction of the asset's movement in the near future.
