Charts & TA, page-144

It has become quite obvious that Market Makers ARE managing liquidity float. Quick breakdown what these means for anyone who is thinking of a quick flip.

It means a market participant (typically a market maker, prop desk, or algorithm) is deliberately influencing price levels and volume flow to:

1. Control how many shares are trading hands,
2. Keep price contained within a narrow band (e.g. $0.145–$0.155), and
3. Prevent a breakout or breakdown before they’re ready (usually awaiting a catalyst, accumulation target, or liquidity event).

I used to think this is illegal, it’s not illegal. It’s strategic.

Who does this and why?

1.

Market Makers / Liquidity Providers

They create a liquid two-sided market, but also:

• Run algorithms that profit from volatility, spreads, and rebates
• Often work on behalf of funds, insiders, or investment banks building a position

2.

Funds or Insiders Accumulating

If a fund wants 10M shares, they don’t want price to spike until they’re fully in.

So they:

• Place resistance walls just above the price (e.g. $0.155, $0.160)
• Buy quietly on dips via iceberg orders or layered bids
• Use algorithms to control volatility until they’re ready

Why is

managing the float

important?

The float refers to the number of shares actively trading.

If too many shares get absorbed too quickly (e.g. if retail starts chasing a breakout), it:

• Pushes the price up before accumulation is finished
• Alerts traders and institutions to a breakout early
• Causes the market maker to pay more for stock they still want

So they “manage the float” to:

• Slow things down
• Exhaust impatient traders
• Accumulate over time without spiking price

How long do they manage it for?

Depends on:

1. Their objective (accumulate, distribute, trap)
2. How much supply is available
3. Catalyst timing (e.g. drill results, announcements)

Could last:

• Days (short pre-news flush)
• Weeks (slow accumulation)
• Months (if a large revaluation event is ahead)

What makes them change or alter levels?

They adjust their strategy based on:

✅ 1.

Volume Spike

If buying pressure exceeds their control, they lift walls and let price run.

2.

News Catalyst

E.g. drilling results, JORC upgrade, or takeover rumours — they may release the brakes to ride the momentum.

3.

Accumulation Target Hit

Once they’ve built their position, they remove resistance and let price naturally revalue.

4.

Retail Participation Weakens

Once retail stops chasing or starts selling into walls, they step back in and accumulate again lower. So it’s important to remember when you see this sort of trading, patience is most important. This is where we hold until news flows HODL and watch as other regret selling out early due to emotions and not company fundemwnetals.