A MM's job is to keep the churn going. If news c
Post# of 56323
A MM's job is to keep the churn going. If news comes out and the PPS push goes up because of demand, there will be too many buyers and not enough sellers. The MM needs to keep the buys and sells available in both directions and that is based on the PPS that the MMs feel will sustain trades to keep moving. Our job is to identify where the MMs want the price to be for a two way business. Then when we see the PPS rise on news, know that MMs will react and there we have the swing. Get out on the high, get in when the MMs bring it down to where they feel it will have a two way trading churn, or stay long and just watch.
One of the lucrative trading disciplines for this stock is to play the swing and also stay long. You take a long position on a certain amount of shares and never go below that amount of shares. This position will pay off in large gains within the next 9 months. Go long and avoid the higher federal capital gains after 1 year and a 1 day of holding. You also take a position with a certain number of shares and play the swings. Identify the resistance history and play the swings. With the profits, you can do many things, add to your long position share quantity, use the profits to add to your swing amount, etc.