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21.5¢ strike energy limited

spot on. (Re auction close volumes)

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Foibles

127 Posts.

43

08/02/24

19:42

Post #: 72311620
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Originally posted by gimo211: ↑

Hi kmuirhead,

"Why on earth would an index fund commission a third party to do the short selling so the third party could borrow shares and sell these shares to the index fund?"
I think the following logic underlies this:
An index fund must reflect the inclusion of STX in an index (e.g. ASX 200) in proportionately in a certain time.
Therefore, the fundmust acquire a correspondingly large quantity of STX shares. The index fundtherefore creates - from its point of view - an “artificial” and large demand.
If the index fund were to buy the required Strike shares on the market, this would lead to a significant increase in the share price.
However,an index fund wants to avoid this, as a fall in the share price after coveringits own requirements would have a direct negative impact on the fund value.
Shortselling therefore provides the necessary liquidity: the index fund can coverthe necessary demand immediately - without moving the share price.

That is theanswer to your question...

I expect that we will see an enormously high volume tomorrow in the closing auction andon Friday an ASIC report on an equally high short selling volume.

Let's see...

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spot on. (Re auction close volumes)
Last edited by Foibles: 08/02/24

STX Price at posting: 42.0¢ Sentiment: Buy Disclosure: Held
2 Upvote

0 Great analysis

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(20min delay)
Last 21.5¢		Change -0.005(2.27%)		Mkt cap ! $629.3M

Open	High	Low	Value	Volume
21.5¢	22.0¢	21.3¢	$456.2K	2.094M

Buyers (Bids)

No.	Vol.	Price($)
57	987392	21.5¢

Sellers (Offers)

Price($)	Vol.	No.
22.0¢	1379075	60

View Market Depth

No.	Vol.	Price($)
57	987392	0.215
39	1004543	0.210
39	1713860	0.205
83	2035113	0.200
34	820955	0.195

Price($)	Vol.	No.
0.220	1377756	60
0.225	1031922	24
0.230	656002	23
0.235	1063694	17
0.240	1003853	16

Last trade - 13.18pm 24/05/2024 (20 minute delay)


Last 21.5¢			Change -0.005 ( 2.18 %)
Open	High		Low	Volume
21.5¢	22.0¢		21.5¢	477812
Last updated 13.32pm 24/05/2024 ?

STX (ASX) Chart