TAPE READING (chat room cont.)

great, but now three interesting questions:

1. when you observe large prints going off at .57, and if you want to buy, would you buy at offer or buy at bid, or just buy at .57?

2. have you ever met with the situation in which when you try to buy, suddenly there is big size bid show up at say .56? what would you then?

3. if you, in the above example, buy at offer, then you find you get price improvement, would you buy more or stop buying and try to get out ?

Thanks

 

no one can answer these questions?

Maverick74, could you?

 

Not enough info.

 

ok. let me just ask this question:
bid 0.55 200 offer 0.60 500, big prints go off at .57 and then:
have you ever met with the situation in which when you try to buy, suddenly there is big size bid show up at say .56?

thanks

 

I'm not trying to be a dick here but there still is not enough info. Tape reading is not about a specific pattern but rather a group of patterns. I would need to see the tape of the whole trading day to tell you what is going on there. Any number of 100 things could be happening there.

 

ok, i think we have misunderstanding.

Here I just want to know have you ever met with such situation, for example, bid 0.55 200 offer 0.60 500, big prints go off at .57, and when you try to buy, suddenly a size bid shows up at bid 0.56?
thanks

 

I have seen every situation imaginable. I'm not sure what you are getting at. I wish I could be of more help.

 

ok, I see and thank you for your response, Mav.

However, I have questions as follows:

you used to say:"Generally what I use to do is when the mkt opened, if I saw a strong stock, I would jump in with 500 shares just to get involved, start small. Then as I got to see the action and see where the buyer is, I would start to bid for the stock around where he was buying. When the BIG bids showed up, I would already have on most of my position and I would be looking to sell my stock into any spread. "

1. does "jump in" mean that you will buy the stock at offer using market order?
2. does the "action" in "then as igot to see the action" mean that if you get price improvement?


thanks

 

I almost always lifted offers and hit bids. No, action just refers to institutional involvement.

 

Maverick, your ability to express and articulate what you know is impressive as i imagine your trading is.

thanks for your time on this thread as it is excellent.