deep market

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Deep Market

A market with high trading volume and a small bid-ask spread. However, an investor can profit in a deep market, especially if he/she trades large numbers of securities. When the bid-ask spread is narrow, an investor may have difficulty making more than a small return for each trade, but sheer numbers can make returns add to a substantial amount. In any case, a deep market is almost always highly liquid.

deep market

A market for a security in which there are numerous, sizable bids and offers. A deep market for a security provides an investor in that security with more liquidity. Compare thin market, tight market.
References in periodicals archive ?
In response to our members' request that we provide competitive, deep markets in these options, we have decided to expand our trading into additional, less liquid issues," said David Krell, President and Chief Executive Officer of ISE.
With a more precise understanding of risks comes the ability to manage risks more actively; transparent methodology as well as broad and deep markets are essential to effective risk management.