Investing Market depth Order book Kite

Market depth view on Kite

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Market depth on Kite is the 5-level visible order book for a tradable instrument: the top five buy quotes (bids) and the top five sell quotes (asks), each with its aggregate quantity. It is what was historically called “Level 2 data” in the West. Kite renders the depth in a side panel on web and in the quote-screen on the mobile app.

How to open the depth panel

PlatformOpen path
Kite webClick the scrip name in the marketwatch row, or use the keyboard shortcut F12 with a row focused
Kite mobile appTap the scrip row; the quote screen shows depth in the lower half

The depth panel updates in real time during market hours.

What the depth shows

For every instrument, the panel has two columns:

SideWhat it shows
Bids (buy)Five price levels above the current best bid, with cumulative quantity at each level
Asks (sell)Five price levels below the current best ask, with cumulative quantity at each level

Surrounding the depth, the panel also shows:

  • Volume: Total shares traded today.
  • OHLC: Open, high, low, close of the current day.
  • Average price: Volume-weighted average price (VWAP) for the day.
  • Circuit limits: Upper and lower circuit (price band) for the day.
  • 52-week high / low: Highest and lowest price in the last 52 weeks.
  • Bid-ask spread: Difference between the best ask and best bid.

Reading the order book

The depth panel makes it easy to assess:

Liquidity

A liquid scrip has tight bid-ask spread (a few paise) and large cumulative quantities at each of the five levels. An illiquid scrip has wide spread and thin sizes; a small market order will eat through multiple levels and execute at a worse average price.

Buy / sell pressure

If the cumulative bid quantity exceeds the cumulative ask quantity by a wide margin, near-term direction is biased upward (more buyers than sellers waiting). The reverse signals downward bias. This is a weak signal, not a reliable indicator; large orders are often broken up or hidden.

Order sizing for a limit order

For a limit order priced near the inside market, the depth at your price tells you how many shares can be filled instantly versus queued. If you intend to trade 10,000 shares and the cumulative bid at your price is 50, your order will sit in the queue until liquidity arrives.

Order sizing for a market order

A market order will execute through the levels until filled. The expected execution price is the volume-weighted average across the levels consumed. The depth panel lets you estimate slippage before placing the order.

Depth in the F&O segment

For F&O contracts, the depth follows the same 5-level convention. For deeply illiquid strikes (far OTM options on illiquid stock derivatives), depth may show only 1-2 levels with quotes, even during active market hours.

20-level depth

NSE introduced a 20-level depth feature for select segments, available on Kite as a separate product behind an additional subscription. The default Kite depth panel remains at 5 levels.

Depth versus chart

The depth panel and the price chart show different things:

  • Depth = orders waiting at this moment.
  • Chart = trades that have already happened.

These can diverge: depth shows future intent, chart shows past execution. Use depth for order placement; use chart for trend analysis.

Pre-open session depth

During the pre-open session (09:00 to 09:08 for equity), the depth panel shows the indicative open price and matching quantities accumulated so far. The actual opening price prints at 09:15.

See also

External references

References

  1. NSE India, Equity market data and order book, nseindia.com.
  2. Zerodha Support, Market depth panel on Kite, support.zerodha.com.
  3. Zerodha Varsity, Reading the market depth, zerodha.com/varsity.

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