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MRC 17.0¢

strange trading...

  1. trade4profit

    15,276 Posts.
    43
    Apart from the idiot seller (or dummy seller), there were some other strange trading patterns yesterday.

    Prior to the open, several bids of both 50K and 20K were placed in the queue, from 28c to 31c.

    They waited all morning with only minor selling eating into the them, before finally getting impatient and buying at market...all within half an hour or so of each other. So, from an intra-day low of 30.5, they pushed it up to 32.5...but in the process, left the depth pretty much empty.

    Were they simply amateurs, or in a mad hurry for some reason?

    In addition, when the "idiot" seller whacked his big order at the top of the queue, there was something like 580K on the ask (32.5) and only 17K on the bid (31), with a big drop all the way back to 28.5c on the buy side...yet the price didn't budge.

    Why?

    This depth action appears to be trying to "flush out" sellers, but doesn't seem to be working too well...which suggests to me that there are not too many traders left in MRC now and that most of those holding are happy to sit back and watch things unfold.

    Afterall, apart from the big "announcement" we are all expecting, we now have a possible energy deal due to be wrapped up within the next 2-3 weeks...maybe even sooner.

    Cheers!

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