Order Book

A list of buy and sell orders for a particular security or financial instrument that is sorted by price level is referred to as an “order book” in trading. A market depth table, often known as an order book, shows the number of shares or coins being offered or bid on at each price.

The buy and sell orders’ originators are also identified; however, some prefer to maintain their anonymity. The fact that these listings offer useful trading information benefits traders and increase market transparency.

The order book is used by the matching engine, a technology that executes trades for exchange members by matching buy and sell orders. All electronic exchanges are built on an order matching system, which also defines how efficient and reliable the exchange is. Although order books typically include the same data, the layout can change based on the platform.

Leave a Reply

Your email address will not be published. Required fields are marked *

© WazirX. All rights reserved

Scroll to Top