Tick by tick meaning

"Tick by tick" is a term used in securities trading that refers to the process of buying or selling a large block of securities at a specific price. It is a type of trade that is executed over a series of smaller transactions, with each transaction being referred to as a "tick."

The term is used to describe the process of buying or selling a large block of securities at a specific price. For example, if a trader wants to buy 100,000 shares of a stock, they might do so by placing a series of buy orders over a number of days or weeks, each order being for a specific number of shares.

The purpose of a tick by tick trade is to reduce the impact of the trade on the market. By breaking up a large block of securities into smaller transactions, the trader can avoid causing a significant price movement in the market and reduce the risk of attracting attention from other traders.

Overall, tick by tick trades are commonly used by institutional investors and high-volume traders to minimize market impact and maintain anonymity.