short, page-75

Hi everyone,

I have been doing a bit of reading trying to work out what is happening.

The same volumes on both the Buy/Sell side of market depth are probably by a market maker. The market maker usually starts the day without holding stock. So if someone buys stock he needs to go short. If someone sells he doesn't need to. What they are trying to do is make the difference between the sell/buy as their profit. Therefore they are not interested in trends as such but more interested in stability where there profits are made with less risk. Of course all market makers are not the same but it may explain some of the stuff we see.

They are also very irritating as every time the price goes up they sell.

I would welcome any comments as I really would like to know as I may be barking up the wrong tree.

The following chart shows where the shorts were at least 25% of each days activity.