roguetrader
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It is a rather unusual volume spike indeed, have you explored the possibility of inaccuracy by the data provider by looking at another source? What was the intraday volune like that day? Was this a single large transaction? Was there any news surrounding this event, either as an explanation of thre surge or as a possible cause? Certainly in a stock as thinly traded as this on would have expected at the very least a price spike to accompany imho.
roguetrader
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Yes, that was ny line of thinking re the distribution of intraday volume. I am not familiar with all aspects of how certain transactions can be made and recorded, but it doesn't look like an open market trade.barjon said:
SOCRATES
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It is not exactly what you think it is.
This is obviously a "put through", or broker to broker trade on behalf of two major clients one a willing seller and the other a willing buyer. In cases such as these, because the deal is a very big one, it is handled in this way. The reason for this is that if it were allowed to enter the general market its size would be enough to disturb the market, i,e,. its natural progressiion in terms of the supply demand schedule being progressed at that time. in those circumstances.
As a size of this nature suddenly apperaring is not related to the supply demand schedule currently in progress it is handled conveniently in this way. A buyer has to be found before the seller can execute, or a seller has to be found before the buyer can execute. This occurs outside normal market size, and consequently outside normal market liquidity.
This is obviously a "put through", or broker to broker trade on behalf of two major clients one a willing seller and the other a willing buyer. In cases such as these, because the deal is a very big one, it is handled in this way. The reason for this is that if it were allowed to enter the general market its size would be enough to disturb the market, i,e,. its natural progressiion in terms of the supply demand schedule being progressed at that time. in those circumstances.
As a size of this nature suddenly apperaring is not related to the supply demand schedule currently in progress it is handled conveniently in this way. A buyer has to be found before the seller can execute, or a seller has to be found before the buyer can execute. This occurs outside normal market size, and consequently outside normal market liquidity.
SOCRATES said:
So some of management deal, perhaps?
I noticed some articles relating to recent activity for this company while registering for ADVFN - I can't seem to find them now, where do I go? Yep - I'm new to this ;-)
Thanks for all the info so far - it's all grand!
SOCRATES
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Yes, it could be, I forgot to mention. Then it appears in the papers later as part of restructuring, or management decisions or other topic and the exhange or acquisition is mentioned but not in its own right, as if the paper was reporting a huge trade, but as part of another angle in which the occurence of the large trade may be included as added information. This kind of info is invariably released late. <G>.
Also, it may be used subliminally to lend weight to a fundamental argument instead of a trading statement. Bear in mind that reporters are not traders, they just report and that's it. Additionally, it is late because the event occurs and then the paper is printed, not the other way round.
Also, it may be used subliminally to lend weight to a fundamental argument instead of a trading statement. Bear in mind that reporters are not traders, they just report and that's it. Additionally, it is late because the event occurs and then the paper is printed, not the other way round.
you can also see marketmaker to marketmaker, large block trades, small block trades and bargain condition trades at www.sharepages.com - look under equities then city desk.