What is a DOM Trader?

Definition

‍DOM Trader, short for Depth of Market Trader, is a tool used by traders to view and interact with the order book of a particular cryptocurrency. It displays the number of buy and sell orders at various price levels around the current market price.

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‍Importance

‍The DOM Trader panel is important because it helps traders gauge market interest and potential support or resistance areas by looking at the number of orders at each price level. It also helps predict price movements based on the distribution of buy and sell orders.

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‍Layout

‍The DOM Trader interface typically includes:

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Price Column: Displays different price levels for the cryptocurrency, usually highlighting the current market price.

Buy Orders (Bids): Shows the number of buy orders (and their volume) at each price level.

Sell Orders (Asks): Shows the number of sell orders (and their volume) at each price level.

Market Depth: Displays how many orders are placed at different levels away from the current price.

Order Entry Panel: Allows you to input and modify your orders.

Mouse Trading Mode: Provides shortcuts and interactive methods to quickly place or modify orders.

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