Anavex Life Sciences Corp (AVXL)

[sab63090]

Steady T
The hedge funds work with the mm's to provide a short term push up allowing them to scale up into their short positions and accumulate a line...notice how the price advance also includes retail excitement in accomplishing this....so the volume is not super high but high enough to affect the psychology which has turned more bullish.

They are therefore part of the early buying that goes on during the price rise and then, along with the mm's help get to the extreme areas very well.

Who is on the opposite side of the long open interest in the calls? MM's seem to be there, right? They don't want to take on risk and that's why most of those guys are very wealthy. They see the book (bids/offers and size) and control the price as best as possible unless some type of surprise hits the market.

Why do we need them? Most of this could be controlled with electronic robots, I believe, to have an honest bid/offer.