GREY:COLUF - Post by User
Comment by
BebeRebozoon Jan 26, 2010 4:34pm
203 Views
Post# 16721204
RE: RE: RE: Mac Attack
RE: RE: RE: Mac AttackRappy:
True professional traders use more than one house - often several houses for their trading. Like a magician, they specialize in misdirection, so while you are watching one house unload enmasse, causing you to panic as you think they must know something, the pros are picking up shares through other houses that you don't even notice on the other side. So you are left with the impression that House 11 is dumping and something must be drastically wrong, so you dump too, meanwhile all that is happening is the panicky retail sheep are being fleeced once again as the same guys selling a few shares on one side are buying on the other - this works in a down market as you only have to sell a few shares into the bids to cause a flood of panicky sells, which you then vacuum up on the other end.
Today for instance - the houses doing all the buying were Canaccord, RBC and TD...hmmm...