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Strategies & Market Trends : LastShadow's Position Trading

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To: Lee Lichterman III who wrote (140)9/1/1998 8:25:00 PM
From: LastShadow  Read Replies (1) of 43080
 
Volume

I saw a lot of large buys (fund/brokerage) out there, and my guess is that are looking at the lows for some of the 'big iron' in the markets and accumulating. You have to realize that a fund will buy even though there may be a lower point to go on the trend so that they are into the postion and can concentrate on other buys. When you are moving as much money as they are, you have to spread it out, and that isn't always going to be the best price. There were a lot of trader and smaller institutional buys going on as well to drive up the volume - and remember that you have to look at what the bond market exits were going on, as some of the larger/smarter fund managers had pulled out a while back (mid July) and were waiting for some opportunity.

ls
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