Bots programming algorithmThe trading bots follow a very simple basic pattern. First of all the size of the bids/asks, nature of buyer whether its institutional/retail investor + brokers inputs which vary. As a rule of thumb, every time a retail investor buys, the price will go down and if retail investor sells the price will go up. Thats the basic premise of physcological trading pattern to entire retailer to come back with remorse in both cases. These are all short term pattern to trap a daily trader or retail investor. The average daily trader is smart enough to identify the pattern and follows the candles which sometimes mislead too on smaller volumes.
On a day like today when the average volume pattern is adhered to, its a perfect example of how bots do the trading.
The range is very tighly controlled by bots coz they dont want to throw out their shares while at the same time wants to control the price. The retail investors can outsmart the computer by buying in small blocks over 5 cents price difference and the bots circuit reverses. Also if selling,stagger it rather than throwing in chunks.
For anyone buying today look for $5.80s as a good trading entry point for next week and for selling, use power hour to go above $6
GLTA