medium · Volume Spread Analysis background-trend-context
When a market-maker is 'bullish' but the current price is under pressure, why might they mark the price down sharply at the open?
- To discourage institutional buyers from entering that market.
- To create a 'shake-out' and fulfill their own buy orders at better prices.
- Because they are legally obligated to match the sentiment of the news.
- To clear out the remaining sell orders at the top of the range before the decline.
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