Order depth shows the supply and demand in the market – how much buyers and sellers are willing to trade at different price levels. It’s a useful tool to understand market liquidity and potential price movement.
What does the order depth display?
Order depth is split into two sides:
• Bid side – shows the number and volume of buy orders below the market price.
• Ask side – shows the number and volume of sell orders above the market price.
This is shown as a bar graph, where the height represents the volume available at each price level.