Description: Nothing has changed the markets more in the last few years than the advent of direct access. 'Direct access' is made up of two main components: NASDAQ Level II quotes and direct order routing, tools traders can use to 'hit' bids and offers instead of seeing the market slip away and receiving a less attractive price. Direct order routing is accomplished through the use of SOES (Small Order Execution System), ECNs (Electronic Communications Networks), and SelectNet. Now you can choose the fastest route, but if you choose wrong, you still won't get filled at good price because someone will beat you to it. On the other hand, Level II quotes show not only the inside bid and offer for a security, but also the 'depth' of the market. That is, it shows at what prices market makers have put in firm bids and offers for that security. Just having access to these tools is not enough, though. Knowing how to use them is the key, and in The NASDAQ Trader's Toolkit, a former market maker reveals secrets of interpreting Level II and how to route your order to get the quickest fill at the best execution.

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