When new people come to the world of stock marketing and start trading or investing, then they hear and read many new words and short forms whose meaning they don’t know because of which they remain confused, just like that people often ask me what the meaning of TBQ and TSQ is.
Therefore, in today’s article, I will tell you the meaning of TBQ and TSQ and will also give some more interesting information related to them which is very important for new traders to know, so let’s see what is tbq and tsq in the stock market.
What is TBQ?
The full form of TBQ is Total Buy Quantity, and in some trading applications, it’s full also shown as Total Bid Quantity. By that means, It’s the total number of your stocks that you have purchased orders on the exchange of a stock such as Tata Motors, etc.
If you want to see it, you have to click on the “market depth” in the application you’re using for trading or investing.
Although the majority of the trading application shows 5 top buyers. However, you can even analysis about market ups and downs just by clicking on view 20 depth in a few trading applications.
It depends on the brokerage firm (trading application), what types of features, and how many features they are providing to their users.
What is TSQ?
The full form of TSQ is Total Sell Quantity, and in some trading applications, it’s full also shown as TOQ, which means Total offer Quantity.
It’s also effortless to understand because TSQ is the opposite of TSQ, which means a total of all active sell orders on the exchange for a stock.
Just like the previous one (TBQ), it’s also available in your trading application, such as upstox. If you want to see that, you first have to click on market depth in your application; most of the applications show the top 5 buyers. I also told you that it depends on your trading application what kind of future they’re providing.
I hope that you have finally understood the meaning of Tbq and tsq. Now let’s know how does it change.
How are TBQ and TSQ change?
The Volatility of any stock can change the number of TBQ and TSQ. The total number of TBQ and TSQ is the sum of the supply and demand of the stock. Sometimes when demand increases, so in that case, supply gets low, and whenever TBQ gets increased, TSQ gets decreases.
However, I have noticed that whenever something happens between tsq and tbq, the price doesn’t fluctuate instantly. It won’t be wrong to say that supply depends on the exchange of stock.
I have seen many people who think that price will increase according to demand and supply, although it happens in most cases but not always.
What is TTQ?
The full form of TTQ is Total Traded Quantity, and it’s the total of TBQ and TSQ. We can also say it’s the total equity exchanged in a particular share in a day.
Why TBQ and TSQ is Important
TBQ and TSQ are both very important when it comes to deciding the entry point in a stock.
They will also help you with criteria for stock which is considered an excellent option for intraday trading.
TSQ and TBQ will be very beneficial in such conditions when the supply of any stock increases while the demand starts decreasing, so in that case, you can exit and save your money. However, it doesn’t happen; I’ve seen just a few cases.
If your goal is a long-term investment so you can get the average of TBQ and TSQ daily from exchanges, so they’ll be important for you.
They’re helpful when it comes to the exchanges regarding a stock’s label as a liquid stock or illiquid stock.
Can we determine stock movement with tbq and tsq
Yeah, In my opinion, you can determine stock movement because all most every trading application provides it for your benefit.
In this article, I’ve told you that TBQ, which means Total Buy Quantity, and TSQ, which means Total sell Quantity, are very important tools for traders, especially for intraday trading.
However, they’re just parameters, especially for trading, but it doesn’t mean that you can enter and exit based on TBQ and TSQ.
I hope this was a very informative article for you if you like it, so please don’t forget to share it with your friends. You can also ask any questions through the comments section. I’ll be glad to answer you.