buy order imbalance
Definition
A disproportion of aggregate buy orders. A buy order imbalance usually occurs approximately one hour before the market closes when there is late-breaking news that prompts investors to buy in large numbers. When this happens, information on the imbalance is distributed by exchanges and the media in order to try minimize the disparity. In extreme situations however, trading is halted on the specific security in question.
Use buy order imbalance in a sentence
“ You should try to make sure that you do not end up in a buy order imbalance that may turn out to be costly. ”
“ The buy order imbalance was really interesting for us and I was glad that it existed and everyone was okay. ”
“ I have found the Christmas holiday in particular seems to instigate many buy order imbalances as it seems our buying habits sway the marketplace. ”
