bot action, page-30

Hey Koala

A bot is trading software (a program) which buys or sells shares on behalf of a trader.

NKP has had a bot active for some time now. Although its a bit sleepy this morning because I think we've now reached its lower selling level. (I stress I "think")

When the price headed up into the 0.60's the bot slowly but surely dumped shares in random bundles to waiting buyers.

The bundles of shares being dumped is varied according to the amount of buyer support. For example it can range for 50 shares to 10,000 shares per trade depending of the level of buyer interest.

So if the price is rising the bot dumps faster and in larger amounts. If the price is falling the bot dumps slower and in smaller amounts.

It could be a bigger investor slowly selling off their millions of shares.

Or... it could be another company who wants to do a takeover of NKP keeping the price down so they they have more bargaining power in any negotiations with NKP, and hence are able to pay a lower price.

Or... It could be someone shaking the apple tree seeing how many big juicy apples fall (so the bot operators can catch them), when sellers get tired of waiting and watching the share price going no-where.

Its hard to tell... Either way unless some juicy news is released to the market via an ASX announcement or a company leak or a news article then I'd be very suprised if we see the share price rise above mid 0.50's again anytime soon.