Greenhill & Co., Inc., together with its subsidiaries, operates as an independent investment bank for corporations, partnerships, institutions, and governments worldwide. The company provides financial advisory services primarily related to mergers and acquisitions, restructurings, financings, and capital raisings. It is involved in the provision of advisory services to clients in relation to domestic and cross-border mergers, acquisitions, divestitures, spin-offs, and other strategic transactions, as well as various stages of these transactions, from initial structuring to final execution. The company also advises clients on strategic matters, such as activist response, defensive tactics, special committee projects, licensing deals, joint ventures, valuation, negotiation tactics, industry dynamics, structuring alternatives, and timing and pricing of transactions, as well as financing alternatives. In addition, it engages in advising debtors, creditors, governments, pension funds, and other stakeholders in companies experiencing financial distress, as well as acquirers of distressed companies and assets. Further, the company assists the clients, who seek court-assisted reorganizations by developing and seeking approval for plans of reorganization, as well as in the implementation of such plans. It also assists general partners and sponsors in raising capital for new private funds; and provides related advisory services to pension funds, sovereign wealth funds, endowments, and other institutional investors, as well as on secondary market transactions. The company was founded in 1996 and is headquartered in New York, New York.
I don't have a buy signal yet on this, but am keeping a close watch on seller exhaustion. Weekly chart shows a quick descent from $30 down to $14.45. You don't often see something drop that hard, that fast down to support and break it without first bouncing and re-testing prior active areas first. Notice the slight piercing of the support and move back inside - this is the kind of "spring" we're looking for. The below is a daily chart for 2017. An auction took place at that POC around 19-20, sellers won and price took a nose dive. It has since broken above the trend line from that move and an HVN (High Volume Node) is currently building. This is important as it represents another price range that is highly active between buyers/sellers. If it continues to stay range-bound down here, it's likely the POC will shift down to those levels and the stock will continue to give bearish signals. ****It's important to note that when the price broke down in July, it never pulled back to re-test the breakdown. This is often because of exuberance on the part of the short sellers. Market Makers will get out of the way during the move, only to revert price back there later on in an attempt to close out orders they still have open. We can't be confident about that until a breakout above the HVN first though. Here's a closer look of that drop from the 19-20 range. There are two sell climaxes on high volume within' the span of just over a week and yet price is now threatening to break out above the one from 9/5. That should tell you sellers are more than likely exhausted down here. If it does move above - based on the volume from that candle a short cover should begin. The next resistance would then be found at the stop volume of the prior sell climax. Again stop volume candles typically represent smart money buying within the selling. Should price break out above that level, my opinion is that the move down from 19-20 was overdone. That $16.00 - $16.25 does represent some minor resistance.
High of $17.00 today after an upgrade to "overweight" with an $18.00 PT by Buckingham. Currently up 16%.
It's not something you're going to find online - you learn it from experience when trading in markets based on auction theory. Market Makers essentially are no different than bookies. They keep an order book that sometimes they get on the wrong side of. Does the concept resonate with you is what you must ask yourself. Hopefully it does. The moment I stopped looking at stocks in the generic fashion that most do - everything started coming together for me.
Yes what you say makes sense, I'm interested in confirmation of my beliefs as well. I was wondering if there was a book/memoir written by a market maker, that touched on their thinking.
GHL rockin' out after the tender offer they made on 12 million of their own shares @ 17.25 earlier this week. That's nearly half of the 26 million share free float.
I stumbled across a PDF of a book called "Market Makers Edge" a while back.... i lost it when i switched phones, so i didn't get to finish it.... but i remember some basic explanation of what it sounds like Rock is referring too. ....... that sometimes a MM will actually go short to fill institutional orders, even if it results in taking losses Now im gonna have to download that one again, got my interest back
There it is https://www.reddit.com/r/weedstocks/comments/1xydch/market_maker_speaks_out_ways_of_a_market_maker/
The quote below got quite the laugh out of me. 'Tis why I'm glad I broke away from conventional TA and indicators. What I did with Greenhill's analysis (and others) is not that hard. Just takes reframing how one views the market. "However, what they do realize is a lot of dumb money does use this newest nitch charting or TA (Technical Analysis) to run a stock either up or down. To the MMs this is like taking candy from a baby. Simply they will paint the tape and use whatever tactic to affect the charting bands. Thus the public and dumb money they will have eating out of their hands."
Sold half my position, holding a tight stop on other half, likely won't lose money on this trade at this point.
This monthly chart still keeps jumping out at me. It's a clear-cut double bottom pattern with a massive increase in demand on the re-test = more buyers liked it now then it did in spring 2016. Seems highly likely to me this will be re-testing that horizontal resistance around the 27 level.
