InvestorsHub Logo
Followers 6
Posts 1119
Boards Moderated 0
Alias Born 11/02/2010

Re: None

Monday, 02/28/2011 12:19:25 PM

Monday, February 28, 2011 12:19:25 PM

Post# of 15495
Penny traders believe that Market Makers (MM) will "signal" moves in advance buy using small amounts of buys or sells as "signals". The "signals" are such a small amount of shares (worth no more than 5 or 10 dollars) that no trader would have paid a commission that costs more than the amount of shares bought. The "signals" are from one MM to another.


100 I need shares.
200 I need shares badly,but do not take the stock down.
300 Take the price down so I can load shares
400 Keep trading it sideways.
500 Gap the stock. This gap can be either up or down, depending on the direction of the 500 signal

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.