Order books price crash

  • Re: Price crash

    I read last week Someone saying that the new order books is a good thing and if you don’t think it is then you obviously don’t understand how it works and this platform isn’t for you! Well I clearly don’t understand then, so can someone please explain to me how the crazy price fluctuations caused buy the order books resulting in nearly £1000 being wiped off my portfolio in 3 days is a good thing!!??

  • The only people actually losing money are those that are panicking and hitting IS.

    If your financial circumstances allow you to, just hold and wait 12 months. You’ll make money in that time, through dividends, cap app or both.

    Your portfolio value is basically irrelevant until you decide to sell up. Selling during a price crash is obviously not a good idea.

  • It’s a shame, I was looking to cash out a month ago. How can players like pogba and sancho suddenly crash so much. Cost me a small fortune.

  • Best comment ever read in the past days. I am £2000 down and still waiting. Very difficult to keep hold and pray. Wish FI makes price bonuses to save the platform.

  • @NewUser232653 said in Order books price crash:

    How can players like pogba and sancho suddenly crash so much.

    Market depth; FI's current OB's simply don't have enough market depth atm so any sentiment jitters or even traditional Sunday sell off can trigger a spectacular "flash crash" in prices as we saw yesterday but the value of your player hasn't changed just the currently available price (which is irrelevant unless you want to sell NOW).

    Players have a value; broadly based on what they are expected to return in dividends

    Players have a current price; based on the interaction of supply & demand (sell orders & buy orders) if one of these competing forces gains superiority prices can boom or crash in the short term. It might only take a few hundred/thousand either way to create SIGNIFICANT price change in EITHER direction atm.

    Ideally value should equate to price BUT THAT ISN'T ALWAYS POSSIBLE. Players can represent good, fair or poor value depending on what returns you expect them to produce & what their current price is. Neymar was £10 yesterday & £8 last night but he returned 192p last season, dividends have since been DOUBLED so he could realistically be expected to return £3+/year (if he maintains similar returns as previous seasons) that represents 30%+ ROI on his current price & would mean he returned over 100% of his current price in dividends alone over the 3 years of the bet - now that's what I call exceptional value!

  • After a clear thought, I think this is absolutely normal. It is Monday sell-off, and it is magnified by the current situation.

    Before ME, it could only move by 1p for 600/900 shares bought/listed, but now it can move 10p for 300 shares listed.
    Plus we are in the middle of IPD promo that is ten times higher than last season!

    I am not surprised if the price bound back in the next couple day. Just sit tight and wait. Maybe it is a good time to top-up.

  • I did top up a lot on Pogba, only to see him nose dive even more. Fingers crossed he gets in some decent performances , and goals!

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