Price Drivers



  • I know popularity around a future drives price but it would be interesting to know how many futures have to be bought/sold to increase/decrease by each penny I.e. Is it an increase of £0.01 for every 10 shares, every 100, more? Presumably there is a rule FI use?

    Also, any idea of how many users are on the FI?



  • @ACBlue very interesting questions. I m not sure whether FI reads all the threads / questions here. Maybe you could send them an email with these questions and publish the answers here.....



  • Thanks - I didn't realise the conversations weren't monitored. Might explain why a couple of previous queries have never had replies.

    I've emailed and asked. I don't have twitter otherwise would have done that for a quicker reply.

    Will post details here once I hear.



  • @ACBlue Thank you!!!!



  • Im also interested in this. Its impossible to calculate what the true price is if we don't know exactly what factors move the price. It clearly isn't set by market participants as about 70% of the share bought are bought through football index so how are they adjusting the price. What is the formula being used? Something like an options pricing formula ?



  • Each 100 futures bought/sold will increase/decrease the future value by a penny.
    However, a single share bought/sold can have the same effect.
    For example, 1099 more shares currently have been bought than sold in player x.
    Giving them a theoretical buy now price of 10p.
    If you buy 1 share, malong that total 1100 the price will rise to 11p.
    If you then sell that one share it will drop again to 10p.
    Hope this helps



  • Making not malong lol



  • Interesting comments as I've had an emailed response from FI where they've advised that they will not disclose the number of users as this is 'commercially sensitive'.

    In respect of the pricing of a future its based on many variables, which in my opinion contradicts what's been stated before I.e. The more sold, the higher the price.

    Have to say, I'm not convinced by these answers.



  • @NewUser65921

    Whats the source of this info ?



  • I'm not surprised that they wouldn't share how many users there are.
    My source is through experience.
    I have put shares up for sale working back from 100 to find the point at which the balance tipped so that I could sell the optimum shares at the higher price as if you sell 100 then you sell them for a penny less instantly.
    I could be wrong and it would be interesting to test the theory.
    To say that it's based on many factors seems...
    Bullshit.
    But I'd be happy to be proven wrong.



  • https://footballindex.zendesk.com/hc/en-us
    Go to the help section and see how are prices determined.
    I think they are saying what I said but less clearly.



  • I'm a little miffed how you can be told one thing from the FI support team and then having something different written in the FAQs.

    Doesn't fill me with confidence.



  • @NewUser65921 said in Price Drivers:

    I'm not surprised that they wouldn't share how many users there are.
    My source is through experience.
    I have put shares up for sale working back from 100 to find the point at which the balance tipped so that I could sell the optimum shares at the higher price as if you sell 100 then you sell them for a penny less instantly.
    I could be wrong and it would be interesting to test the theory.
    To say that it's based on many factors seems...
    Bullshit.
    But I'd be happy to be proven wrong.

    Do for every sale then do you sell each share one at a time until you hitthe tipping point then just sit back and wait for someone else to buy in order to change thatt tipping point



  • @NewUser85246 no.
    You can put them up for sale in the sell que and them not actually be sold.
    Because someone else needs to buy those shares from you.
    So you can for example try to sell 90 if that makes it go down then cancel the sell order which makes it go back up and try 80 etc etc
    That isn't a hard and fast strategy to use.
    Sometimes you want rid quickly and so quick sell.
    It costs you 4% instead of 2 but if you are flipping then them quickly then sometimes if you wait the opportunity is gone and so us the profit.
    Just some thoughts really



  • @ACBlue no that doesn't look good.
    Did they misunderstand your question?
    The answer that you posted seems like a vague answer to a question like "what makes the price to up or down?"



  • @NewUser65921

    My question was as per the top of this thread so not sure there was any way for it to be misinterpreted.

    Not sure what they stand to gain from their 'grey' answer though.


Log in to reply
 

Looks like your connection to Football Index Forum was lost, please wait while we try to reconnect.