Nanex ~ 14-Feb-2013 ~ It's a Trade! Run!
We often here how fast the market changes when someone wants to do some actually buying
or selling in a lightly traded stock. Here's a real-world example from today (14-Feb-2013)
that perfectly illustrates this phenomenon. The 1st chart below shows 1 second of time.
When a trade appeared, the ask price suddenly jumped $5. Note that the ask price gives
every appearance of being stable, because it hadn't moved for hours and was updated
thousands of times.
1. SCC - Showing 1 second of time. Bids and Asks (triangles) and trades color
coded by exchange. Gray shading is NBBO bid/ask spread.