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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,
by 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 agoSorry, 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?