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When looking at a level 2 table, we'll usually see: enter image description here

So we see 2 tables, one for bids and one for asks. For each, we see 3 columns. What I don't understand is the MMID column.

I understand that it stands for Market Maker ID. But as far as I know, a market maker is a stock exchange participant. And from these 4 letter identifiers it seems that they stand for different stock exchanges, not specific stock exchange participants.

Is there some inter-stock-exchange activity? Are there securities passing from one stock exchange to another?

Would be great if someone can elaborate.

JohnFx
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YoavKlein
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1 Answers1

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MMID is the "Market Maker Identifier", a 4-letter ID that identifies individual market makers and is assigned by FINRA (Financial Industry Regulatory Authority Inc.)

Here in this L2 table, you see the NBBO (National Best Bid and Offer) prices. Most symbols are traded at multiple exchanges, and yes you are correct that the prices are quoted by market makers at different exchanges. Just because you see the prices at different exchanges does not necessarily mean you can trade at these prices though.

Gokay
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