reminder of why oversold15 Sep 2017 10:32
IPO stock
HF / trading desks ... load up for sure thing.
- they also sometimes have to take the less hot ones to support banks and in order to get access to more of the hot IPOs ...
this went a little bit toxic / some bad news ...
they start selling / drops below their in / have to get out
IPO books are supposedly 0 risk tolerance ... they cannot hold the stock . their investors will be furious.
Compliance / risk step in. they manage position , just cut.
= OVER sold.
I have explained this so many times and was proved correct when the Henderson / Anus news posted.