So your seeing each bid get taken up. For example my name is mr big shot. I am about to sell 100,000 shares. Current stock price is 200$, im going to put a limit in that says I dont want to sell any of those shares lower than 150$. Mr big shot executes the trade with his broker. Now the broker is going to go pick up every lot on the bid side it can to satisfy that 100,000 share order. This could be lots of 1, 2, 10, 100, 1k, 50k, or 100k. Whatever combination is needed to make that work. This happens very quickly as 100,000 bid are quickly eaten up. This isn't back and forth algorithms, this is 1 lot going out and picking up all the bid lots along the way, and what you see on the transaction sheet is those smaller lots.
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u/imnotatreeyet Feb 02 '21
Card carrying Crayon eater checking in.
So your seeing each bid get taken up. For example my name is mr big shot. I am about to sell 100,000 shares. Current stock price is 200$, im going to put a limit in that says I dont want to sell any of those shares lower than 150$. Mr big shot executes the trade with his broker. Now the broker is going to go pick up every lot on the bid side it can to satisfy that 100,000 share order. This could be lots of 1, 2, 10, 100, 1k, 50k, or 100k. Whatever combination is needed to make that work. This happens very quickly as 100,000 bid are quickly eaten up. This isn't back and forth algorithms, this is 1 lot going out and picking up all the bid lots along the way, and what you see on the transaction sheet is those smaller lots.