bot trading is executed because 'The Specialist' or Market Maker is making money thru spreads (difference on bid/ask). The market maker is making money thru this actitivty and thus at low volume, trading range, the specialist is in control and luring traders into the trading pit.
Below is my personal short term analysis:
The preceding SP trend is downward since the gap down on 8/9/2010. However, the bears had lost control and the trend stalled by bulls' defense (this is evident by the hourly candle chart). The bollinger band for an hourly chart already developed a tight squeeze but the daily BB is just starting to squeeze.
There is limited ST/DT plays, thus traders are not having FUN at this stage. LT is expecting the outcomes of the the short term play before making a move.
Company announcements on final sale closure, fraccing results & ip figures, spudding activities and also updates on expected delays will surely provide opportunities for all to execute their plays. It is interesting to see finacial figures of FY2009-2010 which is due at the end of this month followed by FY 1Q/2010-2011 figures.
Cheers!!!
'Do not use shor-term trading strategies on long-term investments.'
SSN Price at posting:
6.7¢ Sentiment: LT Buy Disclosure: Held
