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Market Maker Signals

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3:34 pm
April 14, 2009


thedefiant

Moderator

posts 42

 
1

I'd like to form a glossary of market maker signals… strange trades like a sell of 777 shares at the bid when the bid is like .0002 or something like that, thats a .15 cent trade??!! sometimes you'll also see a buy of 500 shares when the ask is .0002 or something ridiculous like that… I've heard from alot of experienced traders that those are MM signals, what I'd like to do is compile a list of these signals and their meaning. A list like this would help us a great deal. I personally have no idea what these signals mean. If anyone does, it would be a great help to us all if you would post these signals and their meaning.

8:24 pm
April 15, 2009


Penny Stocks Picker

Moderator

posts 21

 
2

Wow, your a mind reader.  I was thinking last night about writing an article for this topic.  The market maker signals are just a theory (urban myth) and are not a guaranteed trading method.  For example, sometimes you will see those strange trades when traders forget to place orders without specifing ALL or NONE (that is your order may be filled with multiple trades in various amounts).  I really hate when I forget to qualify my order with ALL or NONE and then see my order filled in 16 transactions (many with the signals below).  So,  I try to remember to always place Limit orders with the All or None qualifer to prevent this from happening.

Anyway heres a listing of some of the penny stock signals believed to be used by Market Maker to another Market Maker (the trades are usually less than $10.00) . 

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.

5000 Raise or lower the bid/ask in the direction of the 5000 trade.  (I.e. 5000 trade at the ask will signal to raise the ask)

5:36 am
December 22, 2010


davidmlee

New Member

posts 2

 
3

Then why do you see 100 shares go through on penny stocks? Who pays $10 commission for a $10 trade?


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4:00 am
April 6, 2011


anadella

New Member

USA

posts 1

 
4

The markets continued gains upon the unleashing of the Department that takes its name from Labor as it released a report on the state of employment on the day that occurs after Thursday. Job creation in the last two months is the strongest it has been since before the recession. If jobs continue to get created, the stock industry might not like it, because too several individuals working mean corporations do not make as much money-at least that's what traders think. Put simply, do not take out an installment loan to load up on stock yet.



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