Hi Fracker. They are part of one large automatic trade (normally by large funds, investment banks etc) that has been broken up and drip fed into the market following a specific pre-programmed algorithm, the intention of which is to get the best price for the trade and not to flood the market in one go (with either a large buy or sell). You are quite correct that if they were a normal trade you would be making a loss on brokers fees but these are not subject to such fees. See: http://en.wikipedia.org/wiki/Algorithmic_trading for a breakdown.
Could someone clarify a few points for me? There are a significant small number of trades which appear to be less than what a trade would cost. Why would that be. Presumably this is not new for trading and if it meant there was "gas in the pipeline" so to speak then everyone would be trading. Also could somebody tell me what ATs mean in trading jargin.? Many thanks
Last week linksdean and I found common ground when he told me that he, like me, has never shorted SLE.
And this week Searcher is in agreement with me that most of the buying over the last few days is probably shorts being covered. Although I personally would not think it is because they have some inside information that we are not privy to. I would guess that its just the shorters taking their huge profit as it would appear that we may be at the bottom of the massive fall in SP.
Is so nice to have friends in agreement. Happy days.
It was the AT's that pulled us down and it will be the AT's that take us back up imo... follow the money ;)
If you look over the last few days trading imo someone who knows a lot more than you or I are closing a large short............... obviously just my opinion.......... surely it must be our time for a bit of positive news.......
Datafeed and UK data supplied by NBTrader and Digital Look.
While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.