Dark Pool Question

globaltrdr · Jan 25, 2008

:innocent: HOW MUCH DOES HIDDEN ORDER FLOW IN DARK POOLS IMPACT ACCURATE OR EVEN CLOSE TO ACCURATE TECHNICAL ANALYSIS?

new_trader · Jan 25, 2008

globaltrdr said:
:innocent: HOW MUCH DOES HIDDEN ORDER FLOW IN DARK POOLS IMPACT ACCURATE OR EVEN CLOSE TO ACCURATE TECHNICAL ANALYSIS?

What exactly is "ACCURATE TECHNICAL ANALYSIS"?

globaltrdr · Jan 25, 2008

new_trader said:
What exactly is "ACCURATE TECHNICAL ANALYSIS"?

according to the chart/graph seen. in other words the bollinger bands/fibonacci or any of the technical indicators many not be accurate because it didnt catch the several 100,000 shr buy or sell orders occuring in the dark pools.

new_trader · Jan 25, 2008

globaltrdr said:
according to the chart/graph seen. in other words the bollinger bands/fibonacci or any of the technical indicators many not be accurate because it didnt catch the several 100,000 shr buy or sell orders occuring in the dark pools.

What you are saying doesn't make sense, not to me anyway. Aren't all those 'indicators' derived from PRICE and PRICE alone?

globaltrdr · Jan 25, 2008

new_trader said:
What you are saying doesn't make sense, not to me anyway. Aren't all those 'indicators' derived from PRICE and PRICE alone?

prices of what is seen on the exchanges not dark pools.

new_trader · Jan 25, 2008

globaltrdr said:
prices of what is seen on the exchanges not dark pools.

Yes, but does that matter? If I was a billionaire sitting on the sidelines waiting for the price of a stock to get where I want before I buy it, how would your indicator know? Well, it doesn't. It has no idea of my 'intent', all it knows is what price is doing and performs the appropriate arithmetic calculations. If whatever is happening doesn’t affect the price then as far as the indicator is concerned, it isn’t happening. Maybe I am missing something...

globaltrdr · Jan 25, 2008

new_trader said:
Yes, but does that matter? If I was a billionaire sitting on the sidelines waiting for the price of a stock to get where I want before I buy it, how would your indicator know? Well, it doesn't. It has no idea of my 'intent', all it knows is what price is doing and performs the appropriate arithmetic calculations. If whatever is happening doesn’t affect the price then as far as the indicator is concerned, it isn’t happening. Maybe I am missing something...

no, i totally see your point. i am pointing out that the price thats printed cannot not be the real price because it doesnt have complete buy/sell information.

new_trader · Jan 25, 2008

globaltrdr said:
no, i totally see your point. i am pointing out that the price thats printed cannot not be the real price because it doesnt have complete buy/sell information.

I think I see your point. What I am saying is if you are trading using an indicator then whatever price the indicator is using and showing must be the true price as far as you are concerned. If what you see is what you get as far as order fills are concerned then you have nothing to worry about.

fibonelli · Jan 25, 2008

Karl Denninger gives examples of dark pool trades from the middle and latter part of this video.

Created by Camtasia Studio 5

Dark Pool Question

globaltrdr

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