For myself and for many traders I will always assume we are using some form of logical assessment of the market prior to trading.
Who then I always wonder is taking the therefore illogical (ie the other) side of our trades and why.
Has any retail trader ever posted, that I haven't seen, a time when they push buy or sell and that their trade is NOT taken IMMEDIATELY
(ie rejected, as if there is no-one, not one, wanting the opposite side to that trade)
And if retail traders are all trading in one (reasonably logical) direction then who would take the other (unreasonable) trade direction.
Well retail put their trades on through a broker who takes commission from that trade (whether buy or sell).
Forget B(C)-Book Brokers for a moment, as those trades do not go out into the general liquidity pool and therefore influence or otherwise affect any candle movement (if you know what I mean).
The only trades then that get out into an “aggregation” pool of live trades must therefore go past the in house Broker into their registered Liquidity Provider (LP) & potential market maker (MM). (Some B brokers have their own in house B-LPs but lets forget them also and get to the actual market pool)
That aggregated pool must be combined of both buys & sells (uneven, naturally).
But for the majority of retail traders to continually lose then it cannot by definition be a majority of retail traders taking the opposite side of the trade (that was ‘taken” initially by the LP).
Therefore the LP might have at their own risk management disposal a collection of trades that need to be dispersed to other traders to positively balance their own books. And I just cannot imagine in any way, in their ongoing business model, that they would eventually disperse all those trades at a constant LOSS to THEMSELVES.
Therefore I would always ask, when I am about to trade, just who will be taking the opposite AND (hopefully) losing side to my retail trade that I expect to WIN.
(well logically win that is, else I would not trade I imagine)
Food for thought just in who is out there ALWAYS doing the opposite to the ever-losing collective retail crowd.
There is no covert manipulation, in its real negative sense, that I can find in my mind.
Mainly just a good business model by some grouping also amongst a collective group of LPs handling a collective group of constant retail losers.
Thus the reason for fake’n’flips came into in my mind.
Thus markets that are going UP might go down first to shake the retail tree.
None of this matters to me.
It's just a way of personal understanding of a marketplace I trade in. And how then to try and (eventually) be on the right side of the order flow.
Each to their own.
No one way to trade our markets imho, or one way which is best.
Just food for thought is all.
Here’s a quick report from ages ago on some registered Liquidity Providers by name and allowed behaviour.
Trade safe, trade well all.
Who then I always wonder is taking the therefore illogical (ie the other) side of our trades and why.
Has any retail trader ever posted, that I haven't seen, a time when they push buy or sell and that their trade is NOT taken IMMEDIATELY
(ie rejected, as if there is no-one, not one, wanting the opposite side to that trade)
And if retail traders are all trading in one (reasonably logical) direction then who would take the other (unreasonable) trade direction.
Well retail put their trades on through a broker who takes commission from that trade (whether buy or sell).
Forget B(C)-Book Brokers for a moment, as those trades do not go out into the general liquidity pool and therefore influence or otherwise affect any candle movement (if you know what I mean).
The only trades then that get out into an “aggregation” pool of live trades must therefore go past the in house Broker into their registered Liquidity Provider (LP) & potential market maker (MM). (Some B brokers have their own in house B-LPs but lets forget them also and get to the actual market pool)
That aggregated pool must be combined of both buys & sells (uneven, naturally).
But for the majority of retail traders to continually lose then it cannot by definition be a majority of retail traders taking the opposite side of the trade (that was ‘taken” initially by the LP).
Therefore the LP might have at their own risk management disposal a collection of trades that need to be dispersed to other traders to positively balance their own books. And I just cannot imagine in any way, in their ongoing business model, that they would eventually disperse all those trades at a constant LOSS to THEMSELVES.
Therefore I would always ask, when I am about to trade, just who will be taking the opposite AND (hopefully) losing side to my retail trade that I expect to WIN.
(well logically win that is, else I would not trade I imagine)
Food for thought just in who is out there ALWAYS doing the opposite to the ever-losing collective retail crowd.
There is no covert manipulation, in its real negative sense, that I can find in my mind.
Mainly just a good business model by some grouping also amongst a collective group of LPs handling a collective group of constant retail losers.
Thus the reason for fake’n’flips came into in my mind.
Thus markets that are going UP might go down first to shake the retail tree.
None of this matters to me.
It's just a way of personal understanding of a marketplace I trade in. And how then to try and (eventually) be on the right side of the order flow.
Each to their own.
No one way to trade our markets imho, or one way which is best.
Just food for thought is all.
Here’s a quick report from ages ago on some registered Liquidity Providers by name and allowed behaviour.
Trade safe, trade well all.
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