5 ms·

So? It's after hours trading. Its silly to pretend that it's a real 6 percent boost. Let's see the price tomorrow. Thats when you can say this is a legitimate s

So? It's after hours trading. Its silly to pretend that it's a real 6 percent boost. Let's see the price tomorrow. Thats when you can say this is a legitimate spike.

deleted 11y ago
[deleted]
kelnos 11y ago
And regardless, even if there is an impressive increase in regular trading, I don't see why that's surprising... this would appear, at least on the surface (which is what Wall Street reacts to when you consider the scale of a day), to be a good move.
themartorana 11y ago
Wasn't it up over 4% before trading closed?
joshu 11y ago
Yes. The relatively small trading volume is meaningless. Are there any studies on after-hours movement vs gap return?
- encoderer 11y ago
  I wouldn't call it meaningless but it's absolutely different than a spike during the trading day. Nasdaq shows 315k shares having traded AH, about 17% of what traded during the normal session. I've seen gap-fill studies on big moves in general but never one specific to AH moves.
  - jessriedel 11y ago
    But shouldn't 17% of the trading volume of a massive company like Google be much larger than 100% of the trading volume of most companies, and therefore very accurate? Isn't this plenty of liquidity to make money if the prices was predictably off?
    - encoderer 11y ago
      No, because the AH session uses a separate order book, it has much less liquidity. You can see one 1000-share lot move the stock $5. During the normal session, it would've moved it under $1, possibly just pennies. It's possible much of this move was short sellers who chose to cover AH today. It's also possible that there's a lot of smart money buying AH and we'll see it grind higher tomorrow.
      - jessriedel 11y ago
        Sorry, I still don't understand! I can imagine that AH trading would have a tenth of liquidity in the sense that a 1000-share lot in AH trading moves the stock $5 but in normal hours it's just 50 cents. But if stock A has 100 times the trading volume as stock B, wouldn't AH trading of stock A be as liquid, or more liquid, as normal trading of stock B?
nikmobi 11y ago
I don't know much about stocks. Why is after hours different?
- ennuihenry 11y ago
  The volume for after-hours trading is significantly lower as there are fewer exchanges open. 4PM ET is deemed the traditional end of the day for trading.
  - iofj 11y ago
    Also, most people can't trade after hours. So this price is artificial, in the sense that a lot of holders of Google stock wouldn't be able to sell at this 6% increased price.

So? It's after hours trading. Its silly to pretend that it's a real 6 percent boost. Let's see the price tomorrow. Thats when you can say this is a legitimate spike.

deleted 11y ago

[deleted]

kelnos 11y ago

And regardless, even if there is an impressive increase in regular trading, I don't see why that's surprising... this would appear, at least on the surface (which is what Wall Street reacts to when you consider the scale of a day), to be a good move.

themartorana 11y ago

Wasn't it up over 4% before trading closed?

joshu 11y ago

Yes. The relatively small trading volume is meaningless. Are there any studies on after-hours movement vs gap return?

encoderer 11y ago
I wouldn't call it meaningless but it's absolutely different than a spike during the trading day. Nasdaq shows 315k shares having traded AH, about 17% of what traded during the normal session. I've seen gap-fill studies on big moves in general but never one specific to AH moves.
- jessriedel 11y ago
  But shouldn't 17% of the trading volume of a massive company like Google be much larger than 100% of the trading volume of most companies, and therefore very accurate? Isn't this plenty of liquidity to make money if the prices was predictably off?
  - encoderer 11y ago
    No, because the AH session uses a separate order book, it has much less liquidity. You can see one 1000-share lot move the stock $5. During the normal session, it would've moved it under $1, possibly just pennies. It's possible much of this move was short sellers who chose to cover AH today. It's also possible that there's a lot of smart money buying AH and we'll see it grind higher tomorrow.
    - jessriedel 11y ago
      Sorry, I still don't understand! I can imagine that AH trading would have a tenth of liquidity in the sense that a 1000-share lot in AH trading moves the stock $5 but in normal hours it's just 50 cents. But if stock A has 100 times the trading volume as stock B, wouldn't AH trading of stock A be as liquid, or more liquid, as normal trading of stock B?

nikmobi 11y ago

I don't know much about stocks. Why is after hours different?

ennuihenry 11y ago
The volume for after-hours trading is significantly lower as there are fewer exchanges open. 4PM ET is deemed the traditional end of the day for trading.
- iofj 11y ago
  Also, most people can't trade after hours. So this price is artificial, in the sense that a lot of holders of Google stock wouldn't be able to sell at this 6% increased price.