Platforms Offer Low Risk and Early Entry
The giant Buy Side Institutions control vast amounts of money on behalf of their fundholders. They are the giant Mutual Funds and Pension Funds in the US and around the world. Most of the time Individual Investors and Retail Traders do not know how to find the giant Buy Side Institutions because they do not recognize the Platform Candlestick Pattern, or bottoming patterns that indicate their Dark Pool Quiet Accumulation of stock.
These are the savvy money managers in the business. They accumulate stock, using a very specific methodology. They buy into a stock incrementally over a time period of often many months, which means they can be buying slowly and consistently as a stock forms a Platform, and then moves up again.
This type of price pattern is excellent for Position Traders, as it provides strong support and low risk entries. It wreaks havoc on Swing and Day Traders who are constantly whipsawed out of their trades, due to the tighter price action and smaller range that is not wide enough for a Stop and Reverse SARs or other Trading Range style strategy.
Instead of buying when the Giant Funds are buying, Retail Traders are often trying to Sell Short and run headlong into the Buy Side Institutions using Dark Pools for Quiet Accumulation in bottoms.
These institutions always are the ones who create the bottoms. So consequently understanding how, where, and why they buy can help an investor or trader buy in sooner and avoid losses.
How to find the giant Buy Side Institutions requires identifying Dark Pool Quiet Accumulation, which helps traders get into stocks before High Frequency Traders move price suddenly. This is especially beneficial for Swing and Day Traders.
The chart example below shows Dark Pool Quiet Accumulation on 3 levels, as indicated by the 3 lines on the chart. It is a daily chart view.
Martha Stokes CMT
TechniTrader technical analysis using a TC2000 chart, courtesy of Worden Bros.
Chartered Market Technician
Instructor & Developer of TechniTrader Stock & Option Courses
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