Interpret this for me

J

javaboy

Boys and girls.

Check out NTY yesterday. Doing its usual trading, sorta going up and down lazily w/ the spoos and then at 14:15 2k shares show up on the ask (usually only couple hundred shares at a time) at a price of $37.00.

Anyway, short story is that nty doesnt budge fm $36.98-37.00 for hour and 45 minutes until the close. A total of some 160k shares go off at the same price in that time, a huge ammount for this stock that normally trades 2-300k shares/day.

In the meantime right at 14:15, sps go up 4 1/2- 5pts and stay up there for the rest of the day, which would normally create buying pressure in nty.

My interpretation: a shitload of selling going on w/ institutional order at 37 bucks. But why wouldnt specialist let the stock go up and make seller happy at getting a higher price? Is there something I am missing?

Btw, waited all day for seller to go away to catch updraft, never happened, nty closed at $37.

Thx.

java
 
actually, there was a load of buying going on too :).. someone wanted to sell at 37 schmackers and until their order was traded through the sucker didnt go up.. its not a conspiracy (usually) :)..

-qwik
 
So qtrade, what I think you are saying is that I interpreted what was going on correctly. I neglected to say that there really was no size on the bid, so I am thinking the institutional side was the seller.

Still makes me wonder why w/ the buying pressure caused by the spoos going up that the price didnt go up either. Obviously a lot of little guys were looking for the pop to the upside and nty could have gone up. What good would it be for the institution/specialist to stay at $37 even?

And yup, I figured at the high volume of trades going off, that there wasnt anything too conspiratorial....

java
 
Quote from javaboy:

So qtrade, what I think you are saying is that I interpreted what was going on correctly. I neglected to say that there really was no size on the bid, so I am thinking the institutional side was the seller.

Still makes me wonder why w/ the buying pressure caused by the spoos going up that the price didnt go up either. Obviously a lot of little guys were looking for the pop to the upside and nty could have gone up. What good would it be for the institution/specialist to stay at $37 even?

And yup, I figured at the high volume of trades going off, that there wasnt anything too conspiratorial....

java
More...

there was demand at 37.. if he/she were to raise their offer to 37.25 or 37.50, would there still be the same demand? sometimes you have to feed the ducks when they are quacking..

-qwik
 
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