China Growth Stocks

[CSykes]

Your adding "liquidity" to the MM's order book. When someone executes a sell on the bid.. or buys on the ask.. the MM has to pull shares from his order book and fill your order.

By placing an order at the bid to buy.. or sell on the ask.. you are not forcing the market maker to execute a trade. Only when someone buys from your ask.. or sells to your bid.. the other person is the one executing the trade. Thus all you are doing is adding to the MM's inventory.. hence "adding liquidity".