SGH 0.00% 54.5¢ slater & gordon limited

V - is what you are saying that the price is contingent on what...

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    V - is what you are saying that the price is contingent on what order volume is 'in the wings'? I don't have a great deal of knowledge of investment theory or practice in this regard.

    As a 'for instance', if there was a large buyer waiting to re-enter and had placed a big order to fill at - say - up to 59c (last night's close) would the market makers inclination not be to mark prices down to try to flush out still nervous types and cause uncertainty among those buying on hopes of on a continued price recovery. There would be a large gap between (say) the (up to) 59c order price and the average price the MMs had manage to make stick during daily trading (say 50c) so they could let their 'clients' (friends) fill their order at a lot less that the 59c they would have been prepared to pay.

    Alernatively - and I'm not saying this would ever happen because a lot of the market makers are owned by investment banks, which are known always to act in ways that is ethical and honest and I won't have anyone suggest otherwise - the MMs might just fill the buyers request early in trading at the full 59c by going short of shares (as part of normal market activities only of course - not naked) and if they somehow forgot to declare this trade until some time much later, this might help them make money if they then dropped the bid in accordnace with the first half of the paragraph above.

    No doubt someone can assure me something like the above could never happen as I have always believe markets to be scrupulously honestly run. Where would we all be if they weren't because many people have their future retirment prospects tied up in these markets in funds they have no direct control over. Are people these days able to retire earlier than they used to be able to do?

    I am not suggesting (genuinely) that any large buyers are at this stage wanting to re-enter (more's the pity) although the bloke in the video I posted a link to abit earlier looked as if he might be willing to give it a try.
 
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