http://www.incrediblecharts.com/start_trading/shakeout.htm
The Shakeout
(Tricks of the Trade)
A market professional may want to accumulate a large position in a stock that is trending strongly; either for his own account or for a major client. How does he/she do this? If he starts placing buy orders in the pool, he will chase the stock up sky high, without being able to build a big enough line. The golden rule is: buy into weakness.
Patience
The professional bides his time, waiting for the stock to consolidate or start a short-term correction. He knows that trading will be quiet during this phase: buyers lose interest for a while and look elsewhere. He also knows where most traders have their stop loss orders.
A few well-placed sell orders on a quiet day will drive the stock below its' support level. Stops are triggered, sending a flood of sell orders into the market. Everyone takes fright while our market professional steps forward and scoops the pool; buying in the face of the correction. Selling dries up when the stops are filled and the stock soon recovers back into its normal trading range. Everything returns to normal; except that our market professional now has a sizeable parcel of stock, accumulated at bargain-basement prices; and a group of punters curse their luck while the stock soars into the stratosphere.
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Last
0.9¢ |
Change
0.001(12.5%) |
Mkt cap ! $13.27M |
Open | High | Low | Value | Volume |
0.9¢ | 0.9¢ | 0.9¢ | $71.78K | 7.981M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 850797 | 0.9¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
1.0¢ | 13427226 | 14 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 850797 | 0.009 |
8 | 3059329 | 0.008 |
12 | 4998460 | 0.007 |
4 | 1685609 | 0.006 |
1 | 500000 | 0.005 |
Price($) | Vol. | No. |
---|---|---|
0.010 | 13427226 | 14 |
0.011 | 16881150 | 10 |
0.012 | 14538361 | 7 |
0.013 | 10099423 | 3 |
0.014 | 71428 | 1 |
Last trade - 15.10pm 26/07/2024 (20 minute delay) ? |
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