Not necessarily. My observation of investment banks' trading patterns doesn’t support your theory.Of course, there are short sellers who use various strategies. But I believe that the majority of hedge funds or investment firms sell because their sentiment has changed - either due to the company itself or broader macroeconomic conditions.
For example, this chart clearly shows the accumulation trend by a group of 7 brokers commonly associated with investment banks:Citigroup, Goldman Sachs, Macquarie, Merrill Lynch, J.P. Morgan, Morgan Stanley, and UBS.Most large hedge funds and investment firms use these brokers to trade on the ASX.
Naturally, there are always buyers and sellers, but by grouping these 7 investment banks together, we can observe their collective accumulation behavior.As you can see, their holdings grew until December 2024, then shifted from buying to steady selling. So far, they've distributed about half of the shares they accumulated throughout 2024.
CU6 Price at posting:
$1.68 Sentiment: None Disclosure: Not Held
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