Mayne on sale, these prices will not last, page-34

The market is rigged in favour of the big money - HFT, non-transparent Chi-X, ASX Dark Pool trading etc etc. Share prices are manipulated across the market every day, and MYX is no exception. Whether you believe it happens or not doesn't matter - I think that's just the way it is, and after all, they do leave some big footprints on the chart sometimes so it's just another thing to take in to account when watching what is playing out in front of us, and react when necessary.

For example, the nature of the trading in MYX changed about a week ago.  From the low volumes, it looks to me that supply had pretty much dried up and half the selling was coming from short selling used to keep the price as close to $1 as possible- ready for some bad news or bad overnight from Wall St to help push prices below $1 to catch stops and potential new supply from nervous holders. Not that there has been strong demand, but enough buying to consistently edge the price back up until a small bucket of selling has cooled the price down gradually. I agree with Charts, ToneO, Jamarco and others who speculate that the price has been "walked down" recently and yesterday was basically a stop hunt. And unfortunately enough supply came out yesterday to encourage and make further testing of this area more likely.

The charts always tell a story and below is a 15 minute chart I did last night to illustrate the potential footprints of this action over the last week. Is a series of openings that are gapped down combined with increased selling at mid-session after a gentle price recovery and a spike in daily short selling purely random market action? Yesterday saw a sudden massive volume spike of selling, followed by very strong buying- a classic violent test of supply - a shakeout within the trading of the day- it is even more pronounced on the 5 minute chart. The high volume indicates a lot of supply, so ideally the next test is at much lower volume, narrow range and perhaps closing higher on the bar which would indicate a lack of interest in selling at these levels- which is a good sign for potential future upward price movement. 

So some silliness to explain the chart- which for fun I've called the "Tea Lady Chart" because of the trading pattern it reveals. Mary (the nice Tea Lady) likes the group of nice young big money traders she works with and overhears them complaining about a huge MYX order they need to fill but prices are just too high, and every time they start to buy it pushes price up even further - what ever will they do? So to help out each morning Mary distracts them with a fresh batch of scones, grabs a bucket of borrowed MYX shares and throws sell orders into the opening auction. The nice young traders return to their desks and are delighted to see the price has dropped and start filling their orders - "don't buy too much too quickly" they remind each other. With trading at such low volumes when there is bad news sometimes Mary only needs a small bucket. By lunch time they are exhausted and prices have begun to climb again, so they go off to lunch to discuss their dilemma. While they are out, Mary sneaks back and grabs a bigger bucket and throws it at the price - there, that will fix it. On Friday it seems Mary grabbed a much bigger bucket than usual - she really likes these nice young traders.

Apologies for the silliness- thought we needed to lighten up a bit. But is the Tea Lady at work today? And will she sneak in during the lunch break again?