And if you did, chances are you stopped short in the face of the complexity of the situation – refusing to contemplate the intricacies of what happens behind the scenes every time you hit the “Buy” or “Sell” button on your brokerage platform.
Well, let’s get one thing straight right now… if you want to be as successful as possible at this stock trading gig, you’ve got to know the ins and outs of how this whole system works. And the good news is, it doesn’t have to be as complicated as it may seem.
Today, I’m throwing back the curtain on one of trading’s most mysterious players – the market maker. I want you to get to know who market makers are and how they work, as their presence and the functions they perform have a direct impact on how your future trades are carried out.
How Trades are Executed
One of the first things you need to know is that trades can be executed in a number of different ways.