What is market maker move in thinkorswim?

The Market Maker Move (MMM) indicator shows up on the thinkorswim® platform when the market is pricing in excess volatility. The MMM can be particularly useful during earnings season. Stock traders may use MMM to price entries and exits, while option traders might use it for strike selection.

How do market makers move prices?

A Market Maker runs a ‘shop’ and you buy shares from him or sell them back to him. The converse is true also; if there is a consistent and large enough demand for a share, then the Market Makers will increase the price. Market Makers make money from buying shares at a lower price to which they sell them.

Does thinkorswim allow automated trading?

There is no way (at least that we’re aware of) to have fully automated trading in ThinkOrSwim (at least the platform). However, if you have a process-driven approach, much of this is mechanical, and can be outsourced to the actual ThinkOrSwim platform to try and automate as much of the trading process as possible.

How accurate is market maker move?

The expected move represents a one standard deviation (aka one sigma) range. That means there is a 68.2% chance (that’s the confidence interval) that SPY will remain in that field. If option premiums are accurate – and they usually are – then roughly seven out of ten times the stock will stay in the expected range.

What is the purpose of a market maker?

A market maker participates in the securities market by providing trading services for investors and boosting liquidity in the market. They specifically provide bids and offers for a particular security in addition to its market size.

Can market makers see stop loss orders?

Market Makers Can See Your Stop-Loss Orders Most newbies place stops that are visible to market makers. So market makers move the stock to the stop-loss levels and take them out. Especially during low volume trading in the middle of the day.