LPS5 and All:
I have a question for you. I have often wondered whether the mms in a particular stock are watching the chart and make moves to make it look good or bad, whatever their prediliction.
For example, I have seen stocks coming out of a downtrend. Maybe they make a move toward a key moving average (200 day, let's say) or threaten to break the downtrend line where increased buying may occur. I have seen in the last five minutes of a trading day where a stock will move with decent volume maybe slightly above the moving average in question, with all trades going off at the ask. Then suddenly, right at the close, a 100 or 200 share lot will be sold at the bid to move it back under. I have also seen instances where a stock will open at the high and trade slightly down most of the day until the last few minutes when it threatens to make a new intraday high. Again, I'll see the same thing, a small lot sold at the bid, which creates a black candle for the day. The stocks I am talking about trade much more thinly and have wider spreads than a Dell or Intel.
I'd be interested in comments. Sometimes it really appears that they are trying to wreck a chart at day's end. Of course, if they were overwhelmed with buyers (or sellers, whatever the case may be), they wouldn't be able to manipulate it like that. I'm interested in input.
Thanks. |
