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Reading support/resistance on Level II



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Hi, 

I was reading some article that proprietary traders are able to 'see'
resistance (or support) on Level II quotes. Apparantly, if market comes
to, for example, certain high level, and they see a number of quite big
sell orders, then they consider that market wan't go through this level.
They expect it to become resistance and they consider shorting from
there. 

What confuses me about this approach, is that when one watches Level II,
there are all sorts of fantasy orders above (and bellow) current Bid/Ask
spread. Orders above (bellow) current Bid/Ask just appear and dessapear
and it seems are used only for bluffing. 


Does anybody know how resistance/support reading on Level II, is done or
if there is some more info about this on the Internet? 

regards, 
dejan