Dow

Generali

Kez100 wrote: »

Ahhhhhh, just realised you may be able to help me with a query.

We have rather too many of one FTSE 100 stock (due to bad timing of a sharesave maturity and we kept them). I am registered on LSE to watch them and can see daily at 16.35 a really big trade, in the millions and sometimes tens of millions shares traded in one go. Some days it is 'sell' millions, other days 'buy' millions. What is this apparant 'one off' daily trade?

That's the closing auction. It lasts for 5 minutes plus a random number of seconds (up to 30). It allows people to balance their books at the end of the day.

Some big funds trade everything at the closing price. If a broker gets an order at the closing price he will put all or most of the trade through in the closing auction so he doesn't pay more for the stock than the price he's given the fund manager. He might decide to 'work the trade' trying to get better prices through the day but he's taking a risk if he does.

Heyman_2

StevieJ wrote: »

Tell you what, this thread has done well to survive the nuclear attack :T

Hmmmm, Teacher's pet

If I give you a thread title, can you start it for me so that I know it won't get moved or closed? :rotfl:

purch

That's the closing auction

Don't tell everyone the secrets of the market Gen !!! :eek:

It's always better when they think it's some big conspiracy against the little man !!!

Generali

purch wrote: »

Don't tell everyone the secrets of the market Gen !!! :eek:

It's always better when they think it's some big conspiracy against the little man !!!

As GB Shaw said, "All professions are conspiracies against the laity".

You can double that for the financial services 'industry'!

I had another interview over here today. I doubt I'll be working before Christmas but I'm optimistic that I'll get something in January: even if it's not ideal it'll pay the bills.

Kez100

purch wrote: »

Don't tell everyone the secrets of the market Gen !!! :eek:

It's always better when they think it's some big conspiracy against the little man !!!

I didn't think it was any conspiracy! I know pension funds often settle at close prices but what I couldn't understand was that it was one trade when I had expected all funds to do their own.

Generali

Kez100 wrote: »

I didn't think it was any conspiracy! I know pension funds often settle at close prices but what I couldn't understand was that it was one trade when I had expected all funds to do their own.

Possibly it's because all LSE trades are through the central counterparty so everything in the final auction appears as a single trade(???). I don't really know though as just about the only market I've not worked on is the UK market!

purch

Are we allowed to talk about the DJI on up days ?? or are we restricted to discussion only on days when it "tanks" ????????

StevieJ

purch wrote: »

Are we allowed to talk about the DJI on up days ?? or are we restricted to discussion only on days when it "tanks" ????????

This my thread and it is positive

Refer to first post.

I have just noticed that the Dow has moved from a big down to a big up
So it looks like an upsy day on the FTSE tomorrow. Anyone know what caused this?

Generali

StevieJ wrote: »

This my thread and it is positive

Well as someone who aims to end up with a big fat long position in equities I'd quite like prices to fall further before I buy.

StevieJ wrote: »

Refer to first post.

I have just noticed that the Dow has moved from a big down to a big up
So it looks like an upsy day on the FTSE tomorrow. Anyone know what caused this?

Stone Me! Up 5% today. This is very silly. Up 5%, down 3%, sideways 8%. Volumes must be thin still(???).

I still don't think we've hit capitulation point in the market - everyone on Bloomberg TV and in the press still talks about buying back in at these levels. 1974 saw falls of something like 75%, why not this time?

StevieJ

Dow off to a roaring start after the top show on Friday - up 2%+