• I've a small holding in Gravenberch and there seems to be a very wide spread opening up: sell price is 48p, buy now £1.08. I'm not suggesting anything spurious is the cause but it seems odd since there is under 300 bids (appearing on the app) pulling the price down. I see him as a long term hold but I would be interested in hearing thoughts on why the spread is so wide?

  • His Bid Floor is currently 81p - so the 48p you can see is from an average of old bids made from when the floor was lower. It looks like any recent bids at above 81p have either been removed or snapped up.


    Since typing that out someone has put a bid in at just above the floor thus slightly raising the average to 50p


  • @qwertqwert appreciate the insight, thank you. I had wondered if they were old bids. So they have no impact on downward pressure?

  • @NewUser469373

    Downward pressure is caused by low bids on the offers side
    someone could offer up a few hundred at 86p for example which would drop his average Buy price down into the mid to low 90's which would then result in the bid floor dropping as well.

    one of the tactics currently used in market manipulation whereby friend A can put in a low ball offer to lower the bid zone, enabling friend B to put in a bid at a lower price, then friend A can remove their Offer if they want, but friend B's Bid will still remain.

    More often than not though, its driven by the most pessimistic trader who only needs to hold a couple of hundred of shares to significantly affect the price.

    The buy price is dictated by the average of the lowest 900 offers which leaves it easily open to sharp drops as a result of both the above scenarios. -

    I have 700 shares in Gravenberch at the moment, if i wanted to, i could quite easily offer them all up at 65p and drop his buy price average down into the low 70's then let my mate put in a bid for 50p then once hes done that, instantly remove my offer - the process would take around 10 seconds and i would run the risk of my offers being taken up, but it would be a fairly low risk given that there are more nearly more players on here than active traders.

    Its not something i would do personally, but its clearly something that goes on regularly, i believe a similar thing has happened with Jude Bellingham this morning.

  • @qwertqwert thank you, that is very helpful

  • @qwertqwert thank you, that is very helpful

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