DW8 Growth, page-9422

Happy to impart some of the wisdom I picked up from my years as an insto equities sales trader.

What we seem to have here is a classic broker iceberg order (hidden quant order) lurking in the dark. In simple terms, this is when a larger order is sliced into smaller lots to not reflect the full order on screen. So in our case, I imagine a bigger sell order is being worked (I assume 1-5m units of stock). How it works practically is the broker would slice the order and only show part of the full order on screen in the depth (seems to be around ~500k? Sitting at 6.5c). For all the buys that come in while the order is in transit, brokers try sweep the dark pool markets before hitting the screens (I.e. the live depth). Hence why we are seeing a lot of CXXT trades.

Clients used to prefer us executing this way especially for smaller/more illiquid stocks - Primarily as it doesn’t show a clients full order size and from a broker side, we would avoid trading on the exchange which incurs exchange fees and the stock price isn’t impacted adversely.

This doesn’t concern me at all. It’s probably the last of the CR investors looking to get out at cost price. We’ve seen some big buys go through the dark today so as soon as we have clear air, Dw8 can move and move quickly.

I probably didn’t explain that well but hope it helps.