A massive amount of supply has been provided by Macquarie and...

A massive amount of supply has been provided by Macquarie and IBA over Monday and Tuesday. Their Net Sell Price was pretty poor as they were dumping pretty hard. Morgan Stanley doesn't look to have done much short covering (if any). In fact, they may well have gone a little deeper on that front. UBS sold around 800k on Monday at an average price of $1.55 and bought back $1.2m at an average price of $1.49 giving them an average Net Buy Price over the two days of $1.38 (highlighted in green) - the lowest in this list by quite a margin. You really have to admire the algorithm that they run - it's lightyears ahead of anything else. It's a pain in the arse for us long term holders (as it kills momentum) but certainly benefits the shorter term or day traders (that make good money in range bound conditions). Having said that UBS did give me the opportunity to buy at 1.07 when they really hammered it down on the 3rd of October (they were 44% of all trade that day), so it's not all bad. Note: I have been buying all the way down and all the way back up - most of my buys are terrible by comparison to what I just mentioned (in that I could have done better), so don't get the wrong idea. It was a nice gift by UBS that I wouldn't have been given otherwise, is all I'm saying.

I suspect Morgan Stanley are still waiting for a gap fill before they cover (assuming they intend to). If it continues to run against them I would think they would need to start thinking about covering this 2m short position sooner rather than later.