Level 2 is the most predominant source of information in day trading. Neither charts or any indicators can provide such valuable data as Level 2 does. When I started learning day trading, Level 2 was a mystery, a noise where numbers would make no sense and when I tried to learn more about it – there was no literature about it. It was really hard to write about it because Level 2 is in constant movement and displaying it on the paper took a lot of effort. You can have a perfect strategy, you can back test it, but it will never provide correct information just because it does not take Level 2 information into an account. That’s why understanding how Level 2 is so important to trading.