and the repsonse: Well Said/Played! jseps0036
Post# of 11038
jseps0036 Thursday, 07/08/21 11:36:03 AM
Re: janice shell post# 50675 0
Post #
50676
of 50676
I will give you that one. It IS illiquid...currently. This also makes it "thin" because shares are locked up. Aggressive buy orders have the ability to move price significantly...that is literally the definition of "thin" because there is no looming supply.
As I've said several times before, liquidity occurs when the market makers are ready to "mark up" or "mark down" prices because they either need to unload or reload share inventory. . Getting this to occur requires attracting the attention of retail traders, which is usually done with a combination of news and good chart formations. This ticker currently has an excellent chart formation with an uptrend. Only thing missing is the catalyst to attract retail (liquidity). Then price will be marked up accordingly until buying pressure is exhausted. If you pick a highly liquid stock like AAPL, you can see these exact patterns occur on a 1 minute chart. Doesn't matter what the stock is, if you select the right time frame, the same patterns of share rotation occur over and over again . For OTC stocks, you can pretty much only use the daily chart or higher. When OTC stocks are trading on sustained high volume, you can drop to the 1 hour to gauge proper entry and exit, but any lower and you risk a shake out or selling too soon.
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