More statistical properties of order books and price impact

We investigate present some new statistical properties of order books. We analyse data from the Nasdaq and investigate (a) the statistics of incoming limit order prices, (b) the shape of the average order book, and (c) the typical life time of a limit order as a function of the distance from the bes...

Celý popis

Uloženo v:
Podrobná bibliografie
Vydáno v:Physica A Ročník 324; číslo 1; s. 133 - 140
Hlavní autoři: Potters, Marc, Bouchaud, Jean-Philippe
Médium: Journal Article
Jazyk:angličtina
Vydáno: Elsevier B.V 01.06.2003
Elsevier
Témata:
ISSN:0378-4371, 1873-2119, 0378-4371
On-line přístup:Získat plný text
Tagy: Přidat tag
Žádné tagy, Buďte první, kdo vytvoří štítek k tomuto záznamu!
Popis
Shrnutí:We investigate present some new statistical properties of order books. We analyse data from the Nasdaq and investigate (a) the statistics of incoming limit order prices, (b) the shape of the average order book, and (c) the typical life time of a limit order as a function of the distance from the best price. We also determine the ‘price impact’ function using French and British stocks, and find a logarithmic, rather than a power-law, dependence of the price response on the volume. The weak time dependence of the response function shows that the impact is, surprisingly, quasi-permanent, and suggests that trading itself is interpreted by the market as new information.
ISSN:0378-4371
1873-2119
0378-4371
DOI:10.1016/S0378-4371(02)01896-4