will share price drop with new allotment?, page-3

Not so unusual to see prices drop, or rise, just after allocations made.


Many take a punt and buy more than they plan to keep, then sell some for short term profit which helps pay their bills, adding remainder to longer term holdings.


Larger market players try pushing market prices up or down so short term traders need buy or sell to cover themselves.


The market seems to have two main outlook groups, long term and short term, frequently at war with each other.



Sentiment: Long Term = Buy (long term earnings return)
Sentiment: Short Term = Sell (quick profit)

Perhaps a mental disorder when trying do both at once ;-)


So it may take a week or so for the pricing to settle back to normal.





.