Q&A by Don Bright
Iíve been following the opening-only
orders strategy very closely, and I have a
question. Iím a futures trader and somewhat
unfamiliar with the practical aspects
of trading listed. I watched around
13 opens this morning, and saw fills on
three of them. One was LLY, which opened
delayedÖ with news. The position would
have been long in LLY at 56.50 to open.
After a nice move to 56.80, I saw futures
leveling off, possibly getting ready for
more buying. But letís say a trader wanted
to start unwinding a 2,000-share position
at this point.
Since the open, the quotes have not
shown more than 300 on either the bid
or the ask. Iím trying to read the tape
and see what itís doing. All the other
drug stocks are down off the open; one
is starting to roll over. Iím looking to
exit. Now what? How do you unwind a
2,000-share position with only 200
showing on the bid in a case like this?
Do you take it off in pieces, or put the
whole thing out there? Thanks for any
ideas or suggestions ó Dave N.