two-sided market


Two-sided market

A market in which both bid and asked prices, good for the standard unit of trading, are quoted. When customers or market makers are lined up on both sides (buy and sell) of a stock.

Two-Way Market

A market for a security where both an open bid and an open ask are quoted. This indicates that there are both willing buyers and sellers for the security, though their prices may not be the same. While a two-way market is not necessarily liquid, it is by definition more liquid than a one-way market, where there is either no willing buyer or no willing seller currently available. It is also called a two-sided market.

two-sided market

The market for a security in which a bid price and an ask price are both quoted. Also called two-way market. Compare one-sided market.