Market Size

DEFINITION The number of shares in a publicly-traded company that can be traded at a given price. The normal market size is a set number determined by the stock's market capitalization. Market makers must trade within the parameters of the normal market size. If a market maker wants to buy or sell more shares than the normal market size, he/she must negotiate a new price. The normal market size exists to keep particularly large orders from affecting the share price, thus reducing volatility.

A share classification structure based on the number of shares outstanding. This determines the number of shares that a market maker can trade at the quoted price. Buying or selling in amounts above the set number of shares requires price negotiation with the market maker. The Normal Market Size system reduces the effect a market maker's trading activity may have on the share price of a stock that has shares outstanding in the low thousands.

StockStrokes Support

For any query feel free to contact at, or Call 011–426 77733/22.


Please feel free to contact us @ 011 – 426 77733/22 between 9 AM to 6 PM, Monday through Friday, for any enquiries related to our industry. We shall be eager to assist you. Happy investing !!


Follow Us

Stock Strokes-buy Stock Strokes-sell Stock Strokes-start Stock Strokes-stop Stock Strokes-start Stock Strokes-stop