What is a Level 2 depth chart?

Level 2 quotes display the size of the best bids and offers with their respective depths. Day traders use Level 2 stock data to gauge the direction of the stock market over the short-term. And, by short-term, we mean seconds to minutes. To read a level 2 depth chart, you need to understand the L2 data window structure.

Is level 2 data available?

Level 2 data is available only for a limited number of symbols. Make sure that you are connected to the broker. This data is coming from the broker, so it's important to have it connected.

What is a Level 2 stock market?

Level 2 shows you a stock’s supply and demand in real time. It’s comprised of all of the buyers and sellers with open orders. It’s also comprised of tricky high-frequency traders and manipulative market makers. More on that later… It might not be as easy to see Level 2’s relationship to price as the baseball card example.