Price rise/drops clarification.
This might well be a stupid question, but can someone clarify? I've seen some of my holds fluctuating in price recently (Havent we all!). But some are going up and down a penny with increasing regularity.
I know its 900 shares to move a penny either way, but in theory if a player has just launched, and someone buys ten shares when 895 futures have alreadt been sold, taking it to 905 futures sold, then that's a penny rise right? Equally, now that it's at 905 and someone sells 20 futures - taking the total sold back down to 885 - then that players price will have risen and fallen by 1p, despite only a few small trades? Right?
Is the penny fluctuations and volatility purely down to the amount of futures being around the 900 futures "1p barrier"? Or not? I hope that makes sense.
I think I understand your logic and I’d say yes, that makes sense! So in theory someone buying or selling 1 share/future could be enough to change the price by a penny. It just depends when it’s bought. 👍🏼
I know its 900 shares to move a penny either way, but in theory if a player has just launched, and someone buys ten shares when 895 futures have alreadt been sold, taking it to 905 futures sold, then that's a penny rise right?
Correct up until there I'd say. So if someone IS 20 futures, then yes, the price would drop 1p as no one is buying that future (FI are buying it back). If those 20 futures are market listed, then again, the price would drop by 1p, but if someone else were to buy those market listed futures, then that is 20 bought, so the total would rise back up to 905. So basically the 20 market listed that brings the price down is countered by someone buying those 20, therefore bringing the price of the future back to what it was before.
I hope that makes sense
Coriolanus last edited by
@Leighton In theory... maybe. Probably not.
It's far more likely, as I often do myself, someone has listed a bundle and it drops the price, so they cancel the sell and list a lower amount until they find the right number they can list without devaluing the share. So already they themselves have bounced the price up and down … and then it'll mean its right on the brink so further user activity is going to tip it back and forth a bit until someone buys in bulk.
I don't think someone like Pogba for instance or Neymar who have been doing this for the past 2 weeks have set market barrier of £6.57 or £7.28 etc.
Mental barriers do have an effect, but being simple, its more when they change 'band' of player like sub 40, sub50, sub 60, sub £1, £2-4, £5, £6, £7 +