SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Semi Equipment Analysis
SOXX 288.52-0.3%Nov 14 4:00 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
Recommended by:
Fiscally Conservative
FJB
Woody_Nickels
To: FJB who wrote (71451)2/5/2016 2:29:54 PM
From: The Ox3 Recommendations  Read Replies (2) of 95420
 
I have just as good an explanation and I'll pull it out of my....er....head<g>.

Today, PANW fell because there were more retail buyers than sellers. Due to the HFT algorithms, the computers became aware of this and have been shorting the stock all week long. These algorithms are set to put pressure on the retail investor. The more they buy, the more ALGO sells and vice versa. Once ALGO has "the bit in it's teeth" so to speak, it won't let go until these 2 circumstances are reached simultaneously. First, they will need to detect the presence of more retail sellers than buyers. And, more importantly, they'll work the stock lower until they can't locate anymore shares to short. At that point, there will be a "flash" move up, as ALGO leaves the trade.

How's that, FUBHO?
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext