Kardec Trader shows how aggressive market orders consume the order book to move prices. When buyers hit the ask or sellers hit the bid, they drain resting orders and push the price ladder up or down. A $100 to $102 example demonstrates why passive orders alone don't move markets.
Kardec Trader
October 21, 2025
So now we relate this to the transactions of any stock, any instrument in terms of price. We have call it Apple stock. Just for simple terms. $100, $99, $98, 101, $102. This is the order book which shows every single passive order that someone is either looking to buy or sell on the market. So right now the market's currently trading 101 and it's bidding for 100 for price to theoretically move up. What would have to occur here is we would need aggressive participants buying on the ask.
So let's just say 10 hit the market. What that would do is it would bring the market up to trade 101. We would remove the nine and one extra would make this 12. And this is the driving factor of the market is we would need aggressive participants. It could be hundreds, thousands of contracts to aggressively hit all the passive sellers asking to sell for the market to move up. And we would need all the aggressive sellers selling on the bid. Call it 10 plus 17 plus 8 is 35 contracts. Let's just say 40 contracts hit the market right here. It would would remove all these bids and bring the market down $3 or 3 points in this example. And this is the driving factor.
