Solar Integrated Roofing Corp (SIRC)

[PEMBROKE1]

I was wrong on the second sentence of my previous post!!!!



What are Market Makers and Why Are They Important?

Market makers control the stock market, which means that the fate of your stock is in their hands. When you place an order for a stock, your order is sent to a market maker who fills the order for you. Think of a market maker as a middle man of sorts. If you want to buy 100,000 shares of a stock at $0.05/share, you send the order to your market maker and they present that order to sellers. Just like if you wanted to buy a house for $500,000, you would tell your real estate agent, and they would pass that offer along to the seller. Modern technology makes placing orders a speedy process that most give little thought to. It’s easy to look at a Level 2 screen and think of all market makers as equals, but each market maker is unique and understanding their behavioral trends can help you place better orders. As we know from a previous article, supply and demand levels are what determine a stock’s value. Knowing your market makers allows you to understand who controls the supply and demand for a stock, giving you a more thorough understanding of your market