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Strategies & Market Trends : Stock Attack -- A Complete Analysis

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To: adcpres who wrote (34805)11/5/2000 1:12:54 PM
From: UnBelievable  Read Replies (1) of 42787
 
I Use Both E-Signal and Windows On Wall Street

And get the LII from both.

I have not been able to determine which offers may be short sales and which bids may be to cover.

Short sales must be on an uptick so you can rule out certain sales as not being short but that doesn't mean all sales on the uptick are short.

You can get a sense when there seems to be MM trading activity intended to raise the price of a stock but there are a variety of reasons why this may occur.

MM's and some traders will be trading the stock long and short throughout the day. The designation of short sale is not necessary on some interactive trading systems (except if you are selling a security in which you have a long position (the system is able to identify the sale as short based on the traders open positions).

All sales are also long or short relative to the account from which the transaction is being made. A simple example might be someone wishing to box a long position in one account by selling it short in another.

Adding to that the fact that many transactions are components of a more complex trade involving derivatives and things can get pretty muddy.

One way in which you may be able to get a sense of trader sentiment on a particular stock is to lock at the distribution of current open option positions. This information is available from a number of sources. This site provides that information as well as a max pain calculation.

iqauto.com
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