North American Financial 15 Split Corp T.FFN

Still a huge 280000 block on the bid side - head scratcher

[amugsgame]

Sat there overnight so must be a GTC order - I'd really like to know the logic behind this one.

[JohnWalker]

Looks like TD is the buyer and Anonymous is a large part of the selling. Definitely something strange going on. They chewed thru the 280K right at the open and now there's a new bid of 170K at $5.96.

[EdPaquette]

For the medium to long term, this will get back to 7.  But for me, I plan to buy it much cheaper, maybe a number that starts with 3?

[AskMrMarket]

I know our memories are short, but I mentioned this a few years ago (Feb/Mar 2018). TD forces short sellers out if there aren't enough shares held in margin to borrow and sell short in their pool. They stopped me out in 2018, and they likely could be doing the same thing now. Because TD doesn't charge interest for short selling (borrowing shares), they simply use the shares owned in margin

[AskMrMarket]

TD is price agnostic, and the shorts their covering are forced buyers. But the people buying above their big bid are really lost sheep.

[JohnWalker]

This isn't retail traders short covering in my opinion. Both large blocks yesterday and today were a single order (just one buyer).

[AskMrMarket]

I understand that completely. My point is that TD is buying shares and using them to force cover many short sellers en masse within their pool, as they don't have enough shares to lend to their short sellers. This is why TD is the big bidder. They don't care about price. They simply want risk to not be on themselves, so they force close shorts that they can't cover. It's just risk

[Snowsnake]

The only thing I can think of is someone trying to force a short squeeze. But I don't see that as making much sense either.