Short sellers by definition sell, so the price goes down when they sell. Everyone uses algos these days. Manipulating the price down for an illquid stock could prove to be expensive as you still have to cover your short position and so you end up pushing price back up. What the short funds ideally want to do is to take a position, then bad mouth the company on social media etc and get other traders to push the price down even further for them and then they cover for a nice profit.
Aloha mute, Haven’t been on Honda tech for well over 20 years but sure was appreciate of it when I was. Different world in this industry that’s for sure. Would it be possible to post a chart of what you see? Maybe even a video? I’m curious how you differentiate Algo trading from what you might say is regular trading? Also, do you track dom vs t&s at the same time? What I mean is, are orders being pulled to drop price or is it actually trading down?
yea honda tech used to be like snapchat of the car community lol in the worst ways also. but at the end of the day i learned to build motors from that forum and even built a rotating assembly balancing rig in my garage. i had same problems there when i was asking alot of questions as people got more into monetizing they started sharing less and less on forums just thats why forums are dying because people are not sharing their info anymore like the early days of internet.(which is understandable) but at the same time sharing info is the whole point of forums... i decided to find a therapist to help me with the self sabotage because it is becoming obvious that technical knowlege is not my problem. i understand what is happening now when i look at chart but still make dumb mistake in the moment knowing that i shouldnt do something but do it anyway just like trying to quit drinking coffee.
DMN is the ticker i noticed it on first and it seems like algos are just running non stop for last few weeks webull cant even trade it becasue its under .01 if you zoom into the charts you will see moves up or down and then buy orders seem to drop and i see that same stair step algo pattern slowly driving down and then back up fractions of penny. i just looked at it now and its doing same thing. but zoom into the parts where the chart looks uneven im assuming thats where there is actual trading activity and once that stops algo restarts again right after. almost like to keep it on top of the most active scanner in trading platforms. like i said i have no understanding of algos besides someone showing me what the basic algo trading looks like on chart. i just dont know what the purpose of that would be besides shorts running price down also the LGMK did that today as well. i see the orders of very random share numbers constantly running through (someone on youtube also mentioned that algos use share numbers in tape to trigger other algos to take action which seems to be happening. i mean its only matter of time before algos are programmed to communicate by numbers in time and sales since algo can track every buy and sell action precisely) i find it interesting to learn these things to understand how things work people here always assume that im building my strategy around every question i ask for whatever reason. i just like learning very detailed info about everything. when i learned psychology i got deep into it digging up things like brain reimprinting with psychedelics and why military is so effective at training their recruits in bootcamp. i didnt need it for anything but its interesting to learn about it
IMO it's super important to journal your trades; both winning and losing trades. Here's my routine at EOD Save to a PowerPoint: image of blank chart image of chart marked up of what you should do according to your plan image of your trades, marked up with what you didn't do correctly. Make a note of how much each mistake costs you Important to do #2 before looking at #3 so you aren't bias. At the end of the week, I review all of the marked up trade charts and make a list of the mistakes made that week. If the same mistake happens more than one, keep a tally. At the end of the month, I review all weekly reviews and tally what mistakes were made. It'll become pretty obvious where you want to focus. When you write down something like "Needed to exit on 3rd push against position" multiple times that month (or over the course of multiple months), it'll hopefully piss you off enough to make a change. When I journal diligently, I trade well. If I don't, it's like a spiral for me. I spiraled hard for a couple weeks once volatility started going wild with tariffs last month. 50-point 5-min ES bars was a mental mind fuck for me. Ended a day pissed, skipped journaling, started the next day anew and repeated. yuck I also found that reviewing yesterday's marked up chart of trades when first sitting down at the start of the day helps me trade better. Enough about psychology; back on topic.. Price is always looking for where the most transactions will occur. Maybe it's just price discovery that you see happening. Would it be possible to post a chart with the PA you see and mark algo/people trade sections? I think that would help move the discussion forward HTH
Not the one second chart but close enough It takes too long to go back through one second chart in webull But when watching it live it was more obvious because of the way everything was moving
Aloha mute, Now I think someone will be able to answer your question (I'm not that person though). Thanks for the chart
i mean based on what i see in youtube videos retail traders are always like 10 years behind institutions in trading technology. like the lawsuit of goldman sucks programmer i never even heard about that and that was in 2009. video said the goddamn socks had the algo trading since 1999. i was still in high school (sadly missed an opportunity of a lifetime because my poor mindset didnt even see it.) our economics class was taught by an actual wallstreet stock trader like the one from the trading floor and he was talking hella fast and now i understand that he was there to recruit people or give kids opportunity to get to wallstreet. but we were all poor and didnt even register that there was a once in a lifetime opportunity there.
everyone is behind. you just dont know it yet in 2030 you will see wallstreet traders talking about how they scammed retail in 2020 just like they do now just like they did 10 years ago