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DIY Trader
- Joined
- 3 February 2010
- Posts
- 5,359
- Reactions
- 345
Hi All,
I reckon Smack has a point as well:
On many occasions, bidders and sellers are jostling to get the iap to where they want it. It's particularly obvious in the pre-open depths on options expiry day. If you watch a Heat Map on those days from 9:30, you'll see it change from blood red to lime green and back; bids and offers flicker on and off like fairy lights on a Christmas tree - all the while nothing gets traded.
Then, about 20 seconds before the scheduled stagger time, all the flickering dies down and when trading actually commences, it's usually matching out within Cooee of the previous day's Close.
As the ASX computer applies a random offset of +/- 15 seconds to the gazetted time for each group, bots and humans alike will stop playing at least those of their confusing games that they don't really want to be executed.
Sometimes, similar games happen also when a stock comes out of a Trading Halt or ten-minute pre-open after a price-sensitive announcement has been released. In those cases, no random fudge time is applied, so bid and offers can and will be set, changed, and pulled till literally the last split second. Which I find fair enough as it helps me as easily as anybody else to make sure I'll get an order filled within the range I'm happy to deal.
Special advice to Smack: Don't expect ASIC to do anything about it. It's a legitimate means that's available to anybody, who wants to keep holding their cards close to their chest. Knowing when and why such things happen makes it easier for you not to fall into a trap. Knowledge is power. Wondering why is a waste of time.
I reckon Smack has a point as well:
On many occasions, bidders and sellers are jostling to get the iap to where they want it. It's particularly obvious in the pre-open depths on options expiry day. If you watch a Heat Map on those days from 9:30, you'll see it change from blood red to lime green and back; bids and offers flicker on and off like fairy lights on a Christmas tree - all the while nothing gets traded.
Then, about 20 seconds before the scheduled stagger time, all the flickering dies down and when trading actually commences, it's usually matching out within Cooee of the previous day's Close.
As the ASX computer applies a random offset of +/- 15 seconds to the gazetted time for each group, bots and humans alike will stop playing at least those of their confusing games that they don't really want to be executed.
Sometimes, similar games happen also when a stock comes out of a Trading Halt or ten-minute pre-open after a price-sensitive announcement has been released. In those cases, no random fudge time is applied, so bid and offers can and will be set, changed, and pulled till literally the last split second. Which I find fair enough as it helps me as easily as anybody else to make sure I'll get an order filled within the range I'm happy to deal.
Special advice to Smack: Don't expect ASIC to do anything about it. It's a legitimate means that's available to anybody, who wants to keep holding their cards close to their chest. Knowing when and why such things happen makes it easier for you not to fall into a trap. Knowledge is power. Wondering why is a waste of time.