RE: Price Prediction?11 Jul 2020 17:46
They do not tell the company to slow the sp down at all. Thats not what a speeding ticket is.
A speeding ticket (formally called Price and Volume Query) is slang for a notice issued by the Australian Securities Exchange (ASX). The notice asks a company to explain why its share price has abnormally increased in a short period of time or why there is abnormal trading volume.
It's only logical that ASX listed companies need to announce information that affect share price movement. Why share price plummeted or soared should be made public.
A price and volume query takes the following points into consideration:
Is the company in possession of undisclosed information which would explain recent trading activity? If yes, can the company make an announcement? If not, why not and when can it be made?
Are there other explanations for the abnormal trading activity?
Is the company compliant with ASX listing rules and regulations?
The company needs to reply to the notice usually on the day the speeding ticket was issued