Amfil Technologies Inc (FUNN)

[recinvestor]

Market makers need to create a market somehow, and on low volume it is telling that the market makers are working to keep a minimum level of sustained activity at the current price levels.

Most of the time, lack of volume allows market makers to short and or walk down the stock price. It appears they don't want to short or walk it down on low volume because no one is selling any size to the bid.

We're seeing a little size at the ask, but nothing that would give market makers a hard time covering if they're shorting at the ask.

At a glance, the trade tape shows a lot of "mirrored" trades at nearly identical volume, a few ticks apart. This appears to be classic market maker activity. And they're not shorting size, because there's just enough volume and activity at the ask and bid being absorbed by retail.

I don't mind seeing small walls of 100-200K shares on the ask. Why? Because in order to get new shareholders who want size, there has to be a fair amount to grab. New investors who have done their research, looking for size, don't want to build size with 5-10K share slaps. They'd rather grab 100K shares here and there, or sit with size on the bid.

This is the combined behavior we've seen over the last 6 weeks or so of market maker and retail trading. It's all extremely healthy!

I assume there is some additional large investment sitting on the sidelines, just waiting for further confirmation on pending catalysts, before pushing to new higher levels.

Go AMFE
Rec