Clarification needed about how trading at Mt.Gox works

SkRRJyTC

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Quote from: MagicalTux on July 19, 2012, 08:05:14 PM

Quote from: SkRRJyTC on July 19, 2012, 05:50:28 PM

Ok here's the scenario...

The current price is 9.10. There is a bid wall at 9.05 of 10k BTC and a bid wall at 9.00 of 10k BTC. The total bid volume from the current price to 9.00 is less than 22k BTC.

I issue a sell order for 22k BTC at the market price.

Is there any way that the entirety of both walls isn't sold into by my sell order?

The only way would be if someone already placed an order eating on those walls before you.

If not, then you will be the one who gets to trade with the people on both walls.

Thanks very much. I was told it was possible for a bot to pull one or some of the walls during the sell order. I am glad this is not the case.

unclemantis

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(:firstbits => "1mantis")

Buy at market and sell at above market and you will never loose!

MagicalTux

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-

Quote from: SkRRJyTC on July 19, 2012, 05:50:28 PM

Ok here's the scenario...

The current price is 9.10. There is a bid wall at 9.05 of 10k BTC and a bid wall at 9.00 of 10k BTC. The total bid volume from the current price to 9.00 is less than 22k BTC.

I issue a sell order for 22k BTC at the market price.

Is there any way that the entirety of both walls isn't sold into by my sell order?

The only way would be if someone already placed an order eating on those walls before you.

If not, then you will be the one who gets to trade with the people on both walls.

rjk

sr. member

Activity: 448

Merit: 250

1ngldh

Well, what outcome are you expecting, or what have you observed that differs from the expected behavior?

SkRRJyTC

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Merit: 1000

Quote from: Stephen Gornick on July 19, 2012, 07:15:14 PM

Quote from: SkRRJyTC on July 19, 2012, 05:50:28 PM

Ok here's the scenario...

The current price is 9.10. There is a bid wall at 9.05 of 10k BTC and a bid wall at 9.00 of 10k BTC. The total bid volume from the current price to 9.00 is less than 22k BTC.

I issue a sell order for 22k BTC at the market price.

Is there any way that the entirety of both walls isn't sold into by my sell order?

You are asking for the specific behavior of Mt. Gox's trading engine. If it were to process your entire market order at once, then of course, the bid wall will fall.

If Mt. Gox didn't operate this way, I would be surprised.

Yes that is what I am asking. Is it reasonable to expect a response to this question?

I would also be surprised, and shocked, yet some have told me this may be the case...

Stephen Gornick

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Quote from: SkRRJyTC on July 19, 2012, 05:50:28 PM

Ok here's the scenario...

The current price is 9.10. There is a bid wall at 9.05 of 10k BTC and a bid wall at 9.00 of 10k BTC. The total bid volume from the current price to 9.00 is less than 22k BTC.

I issue a sell order for 22k BTC at the market price.

Is there any way that the entirety of both walls isn't sold into by my sell order?

You are asking for the specific behavior of Mt. Gox's trading engine. If it were to process your entire market order at once, then of course, the bid wall will fall.

If Mt. Gox didn't operate this way, I would be surprised.

SkRRJyTC

legendary

Activity: 1008

Merit: 1000

Ok here's the scenario...

The current price is 9.10. There is a bid wall at 9.05 of 10k BTC and a bid wall at 9.00 of 10k BTC. The total bid volume from the current price to 9.00 is less than 22k BTC.

I issue a sell order for 22k BTC at the market price.

Is there any way that the entirety of both walls isn't sold into by my sell order?

Topic: Clarification needed about how trading at Mt.Gox works (Read 877 times)