Suppose the following order arrive in sequence: 1. Harry: Buy 700 stocks at market. 2. Jenny: Sell
Fantastic news! We've Found the answer you've been seeking!
Question:
Suppose the following order arrive in sequence:
1. Harry: Buy 700 stocks at market.
2. Jenny: Sell 1600 stocks at limit $50.04.
What is the bid ask spread after these orders arrive and are executed?
Consider the as below limit order book.
Buyers | Sellers | |||||||
Price | Time | Quantity | Trader | Price | Time | Quantity | Trader | |
50.05 | 9.30 | 1,000 | David | 50.09 | 9.30 | 200 | Gina* | |
50.04 | 9.32 | 500 | Ellen | 50.09 | 9.31 | 400 | Amy | |
50.03 | 9.31 | 400 | Fred | 50.11 | 9.32 | 500 | Bill | |
50.02 | 10.01 | 500 | Brian | 50.12 | 9.30 | 1,000 | Cathy |
Related Book For
Posted Date: