Level II/ECN Panel (2024)

FAQs

What is ECN Level 2? ›

Level II shows you who the market participant is that's making a trade, whether they're buying or selling, the size of the order, and the price offered. The players in the marketplace are market makers, ECNs (computerized order placement systems), and the wholesalers that work with online brokers.

Level II quotes are available under the Quotes & Research tab. The Level II & ECN Books panel shows which market participants are making a market in the stock, as well as the bid, ask, and depth of each participant's quote. The Time & Sales columns show real-time streaming trade prices and sizes.

Level 2 is a generalized term for market data that includes the scope of bid and ask prices for a given security. Also called depth of book, Level 2 includes the price book and order book, listing all price levels of quotes submitted to an exchange and each individual quote.

The clip icon brings up a color-and-number selection menu; choosing a color in this menu will link Level II to all thinkorswim components with similar color. Consider linking Level II to a watch list so that clicking through the latter will immediately display the corresponding symbols in Level II.

Level 2 data is important for traders because it shows the full range of open orders for a stock, not just the current best bid and ask price. Using Level 2 data, you can identify potential trades before they become apparent on technical charts or get additional information about a trade you have planned.

What is ECN-2? For the uninitiated, ECN-2 (or more accurately the “ECN-2 process”) is a standard set of darkroom chemicals and procedural steps for processing certain types of color negative films intended for motion picture use, most notably Kodak's popular Vision3 line of films.

NOTE: Level II data is available to you for a fee if you wish to subscribe to the service. However, the fee may be waived if you meet certain eligibility requirements. For additional information, please contact your Schwab Active Trader Team.

Another benefit of using Level 2 market data is that it can help traders identify areas of support and resistance before they show up on a price chart. In Level 2 data, price levels that show high outstanding demand or high outstanding supply are likely to serve as support or resistance levels in the future.

Go to the Trading window, Settings > General > L2 Data. If you are qualified for Level II access, you should be able to click the Display Bid/Ask Quotes checkboxes. If those checkboxes are grayed out, please contact your Schwab Active Trader Team.

The main difference between them is the amount of data they provide. Level 1 data includes basic information about a transaction, such as the amount, card number, and expiration date. Level 2 data includes additional information, such as the tax amount, merchant's postal code, and customer code.

What is Level II investment? ›

Key Takeaways. Level 2 assets are financial assets and liabilities that don't have regular market pricing. Their fair value can be determined based on other data values or market prices. Level 2 assets are the middle classification based on how reliably their fair market value can be calculated.

Level 1 assets are those that are liquid and easy to value based on publicly quoted market prices. Level 2 assets are harder to value and can only partially be taken from quoted market prices but they can be reasonably extrapolated based on quoted market prices.

You will have to subscribe to Level II data as an addition to your Schwab.com account. For information, in your StreetSmart Pro menu bar, click Schwab.com > Subscribe to Level II.

Level 2: Long Options

Level 2 trading lets you access long puts and calls. Puts are contracts that gain value when the underlying stock's price decreases, while calls gain value when a stock experiences bullishness. The premium and strike price contributes to the investor's break-even price point.

You can find Level II Market Data for securities traded on Nasdaq within your Robinhood account: Go to a security's detail page. In the app, select the arrow next to the current trading price. On the web, select Advanced (double-arrow icon).

Level 2 data shows all of the outstanding orders around the current stock price. It provides traders with much more information about the potential supply of a stock that could be released if the price rises or the potential demand for a stock that could snap into place if the price falls.

An electronic communication network (ECN) is a digital system that matches buyers and sellers looking to trade securities in the financial markets. ECNs allow brokerages and investors in different geographic areas to trade without a third party involved, offering privacy for investors.

ThinkorSwim Level 2, often abbreviated as TOS Level II, is a feature within the ThinkorSwim platform that provides a deeper look into the market. It shows real-time bid and ask prices, the volume of trades, and more. This level of market data is crucial for day traders and those looking to scalp or make quick trades.

An engineering change notice (ECN) is an official notice that a change has been approved. Many companies use a formal ECN to help ensure their contract manufacturers and other manufacturing partners are building products correctly.