In this weekend’s article on the previous months trading we explored the possibility that previous end day duplicated trades resulted from a PI sell plus an Inter-MM transfer and subsequently predicted that the Market Maker nett trade position had just moved from short to long so now we would see SP appreciation. This morning’s SP price rise of c. 5% is further supporting evidence for this explanation – now the MMs are long they are happy to see the SP rise.
The detailed trade analysis is shown below and will be updated during the day.
10:45AM c. 930K more Buys than Sells
1:45PM c. 1060K more Buys than Sells
End of Day 1.421M more Buys than Sells
There was also the delayed report of a 2M Buy (subsequently confirmed by MJXX) on Friday afternoon – the subsequent 5.4M trade (presumed a sell to MMs by someone like Erongo) then yielded an accumulated nett trading position for the Market Makers very close to zero.
Today’s strong buying now leaves the MMs short by c. 1.4M shares. If the buying does not continue then they may be able to walk the price back down and pick these shares up from their new friends at Erongo (assuming it is them selling). That’s two things that have to happen for them to be able to close their short cost effectively. If strong buying continues then it could be the same story tomorrow, with perhaps a similar conclusion tomorrow.
This article only conveys the personal opinion of the author. Whilst every effort is made to ensure the content is accurate, we cannot guarantee the accuracy of the data shown. This article does not constitute professional, financial or investment advice and must not be used as a basis for making investment decisions.
Site content is not authorised by the FCA and you are not safeguarded by the Investor Protection measures of the Financial Services and Markets Act 2000. See our full disclaimer