How to Use Level 2 While Trading Stocks – Tutorial on Level 2 using Etrade Pro with stock CDOI

Trying to improve your day trading skills? Want to learn more about how to use level 2 while trading stocks? Then watch our other level 2 videos!!!

How to use level 2 trading TSLA stock and NFLX stock:
How to use level 2 trading GPRO stock:
How to use level 2 to buy put options:

Trading stocks or options is not easy. However, level 2 is one of the best tools you have for identifying instant trading opportunities. Learning how to use level 2 is extremely important for anyone who is hoping to become a successful day trader.

One of the main aspects to keep in mind with level 2 is really quite simple: which “side” looks to be “winning?”

If the “bid side” is winning than the stock is going to go up. If the “ask side” is winning then the stock is going to go down.

The person who made this video and the other ones posted above has started a brand new stock trading and options trading website called! Level 2 is one of his specialities, as you can see from his many videos. is a growing community that brings together traders of all skill levels and styles. The community helps new traders learn how to trade stocks or options and provides veterans a fun group to be around while they make their trades.

If you’re looking for a kick-ass live chat room featuring live trade alerts, then you should check out the new site!

You can sign up for the chat room here:

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Adam Peidlow says:

Great video, ty. How did that print for .0795 manage to go beneath the highest bid near the end of the video? If the seller hit a market order why wouldn’t it fill at .0856? And does the bid stacking only refer to the green? Or does it include the red, yellow and blue as well?

agustina roman says:


Bud Marley says:

Thank you sir

MyDeArmAsTeR1 says:

what is the MMID? different traders? why the different colors?

etsagahun etsagahun says:

hi thanks its very goog

7Predator11 says:

I have been looking for a video that describes using level 2. Thanks for uploading.

senthil visagan says:

what is MMID means?

Thomas Sampson says:

very helpful thank you!

John Smith says:

I see you are trading an OTC. Does this apply to low float (under 50 million float) listed stocks on the NASDAQ/NYSE? Thanks for the video 🙂

Sunny Singh says:

thank you for the lesson

JustinHit says:

Fucking christ, keep your sceen still.

Steve says:

do you go by the big ask as a signal in level 2 as well ?

Jacek Mering says:

Excellent explanation, thank you!

C Dorma says:

So the level 2 gives you a gist of the balance between support and selling through an easy visual

DondrellTv says:

This is the best L2 video on the net

John Wycoco Photography says:

hi, how do we acquire this level 2 platform? tnx

Dg 27 says:

thay pulled the ask

Alex Knight says:

he doesn’t give a tutorial at all. What does “stacking” actually mean, why is it significant?  What do the colours mean? what do the abbreviations mean. Are they all market makers? Is that your broker in that list?

Mark Musicman says:

I have been Day Trading for 17 years , if you think watching this will give you some secret as to which was a stock will move your kidding yourself. Most of the time you can’t see a MM true intention based only on a Market Depth screen. And now more than ever most market MM’s are hidden behind , bats, edgx, nsda , arca, etc etc etc . And if you trade penny stocks your playing a losing game anyway .

Liam Reeves says:

Best level 2 video I’ve seen.

Ramz Lightz says:

YouTube “traders” are absolutely clueless. Anyone who takes advice from these people is getting misinformed. He explains level 2, yet completely ignores bid / ask size and depth. Size is more important than how many market makers are quoting a specific price. If you have 10 different market makers bidding 0.087 for a total size of 1,000 shares vs 1 market maker offering 50,000 shares at 0.088, that bid is more likely to get flipped.

matt G says:

Why towards the end did the price drop to .0795 then back up. Did some people sell at .0795 trying to knock it into a down trend?

DJ CB says:

love this video thank you man 

Chrizskemattik says:

My question is, how much can be profited from one tick if trading in penny stocks?

Harry McKenzie says:

thank you for sharing 🙂 i noticed we only look at the stacking of bids. how about the size? is it not that important?

Spy Won says:

nobody else saw the 2 spikes at the very end? 150000 in 2 hidden
orders at 0.0795 they didn’t appear on the level 2 only on the chart

Maxi Albina says:

Nice ! great info, subbed and liked

Nip34 says:

You are the boom thank you thank you thank you

Kartikeya Swarup says:

Great video. Thanks for uploading., What trading software is this?

francesco scaramuzzino says:

great video man !!

stockhaven says:

Hey everyone, I posted some new level 2 videos in an updated description of this video. Please check them out, they will help you get better at trading I promise! Let me know if you have any questions.

Jermaine23 channel says:

Hey check out RICH TV LIVE channel, if you want some winners.

Dg 27 says:

the bid sorry

Donald Trump says:

what does green yellow red and blue mean?

Ashley Lander says:

Thank you for the video I have one question to ask.
At the end of the video there was some sellers at 0.795 how did they get filled at 0.795 when there was stackers on the bid at 0.85.

How did the 0.795 get filled for 100k worth of shares? Thanks in advance

James Davis says:

Jesus man, stop moving the effin screen all the time!

roger10152 says:

stockhaven i just want to thank you for teaching me how to read level 2 you made it simple enough for me thanks again!!! your the man

Team Sheesh says:

do you still make videos bud?

theNerdcoreTV says:

Really good video, made me get that AHA moment and earned my sub, im a first year finance student in Finland and have last month fallen in LOVE with penny stocks, been doing all the research i can while i save up for a 300-500€ to start making small trades and slowly gain! thank u! 🙂

eddyvideostar says:

I’m sorry to say this; but, in these days and ages, with these super computers along with HFT, this level II will work in reverse for the retail user causing consternation.

mark P says:

I’m kind of confused .. When there’s more bids stacked than asks on level 2, price goes up or down? And vice versa ? What makes the bids and asks go up ? If there’s demand there have to be supply right ? So how does the price go down or up when all orders are getting filled ?

Nico Santos says:

All technical indicators use volume, price, or a combination of both to determine the CURRENT trend. They don’t predict the future, like all traders would like them to. Level two is the closest you’ll ever get to determining the future price. AND don’t forget to look at volume criteria!

deepak sharma says:

One of the clearest depictions !! Thanx…

Bruce W McLaughlin says:

needs a primer on what you are trying to teach here.

David Merchantier: Dawood says:

could you also explain what the 4 colors mean on level 2? Green, Red, Yellow and ble

Joe Kahn says:

This video was very helpful. Thanks for sharing.

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