Market Maker Surveillance Report. VXX, FAZ, UNG, SDS, CIM, BCON, Highest Net Buy Volume With Lowest Price Friction For Wednesd
January 19, 2011 / M2 PRESSWIRE / BUYINS.NET / www.buyins.net, announced today its proprietary Market Maker Friction Factor Report for Wednesday. Since October 2008 market makers are now required to be on the bid as much as they are on the offer and for like amounts of stock. This Fair Market Making Requirement is designed to prevent market makers from manipulating stock prices. On Wednesday there were 2198 companies with "abnormal" market making, 1279 companies with positive Friction Factors and 4399 companies with negative Friction Factors. Here is a list of the top companies with the highest net buy volume on Wednesday and lowest price Friction (bullish). This means that there was more buying than selling in the stocks and their stock prices rose faster with less Friction. IPATH S&P 500 VIX S/T FU ETN (NYSE:VXX), DIREXION DAILY FINL BEAR 3X (NYSE:FAZ), US NATURAL GAS FUND LP (NYSE:UNG), PROSHARES ULTRASHORT S&P500 (NYSE:SDS), CHIMERA INVESTMENT CORP (NYSE:CIM), BEACON POWER CORPORATION (NASDAQ:BCON). To access Friction Factor, Naked Short Data and SqueezeTrigger Prices on all stocks please visit http://www.buyins.net .
Market Maker Friction Factor is shown in the chart below:
Symbol Change Percent Buy Volume Buy %% Sell Volume Sell %% Net Volume Friction VXX $1.520 4.97% 13,624,640 54.55% 11,513,799 46.10% 2,110,841 13,887 FAZ $0.510 6.11% 16,307,392 53.79% 13,893,813 45.83% 2,413,579 47,325 UNG $0.200 3.33% 15,635,394 57.73% 11,740,794 43.35% 3,894,600 194,730 SDS $0.420 1.89% 13,939,351 59.55% 9,467,708 40.45% 4,471,643 106,468 CIM $0.010 0.24% 5,525,450 58.44% 3,577,716 37.84% 1,947,734 1,947,734 BCON $0.020 8.58% 9,938,668 57.99% 7,200,766 42.01% 2,737,902 1,368,951
Analysis of the Friction Factor chart above shows that each of the six stocks mentioned above have high net dollar gains (Change) and very low price friction in their stocks. The Friction Factor displays how many more shares of buying than selling are required to move a stock higher by one cent or how many more shares of selling than buying moves a stock lower by 1 cent.
For example, the chart above shows BCON with a Net Buy Volume of 2,737,902 shares and a Friction Factor of 1,368,951 shares. That means that it takes 1,368,951 more shares of buying than selling to move BCON higher by one penny. This means the Market Makers are allowing the stock to move up higher as of Wednesday (lower friction). And with one of the highest Net Buy Volumes, the combination of low friction and high net buy volume is bullish.
IPATH S&P 500 VIX S/T FU ETN (NYSE:VXX) - ipath S&P 500 Vix ShortTerm Futures Etn due 1/30/2019
DIREXION DAILY FINL BEAR 3X (NYSE:FAZ) - Direxion Daily Financial Bear 3x
US NATURAL GAS FUND LP (NYSE:UNG) - United States Natural Gas Fund LP
PROSHARES ULTRASHORT S&P500 (NYSE:SDS) - ULTRASH'T SP500 PROS
CHIMERA INVESTMENT CORP (NYSE:CIM) - Chimera Investment Corporation, a real estate investment trust, invests in residential mortgage backed securities (RMBS), residential mortgage loans, real estate-related securities, asset backed securities (ABS), and various other asset classes in the United States. It invests in agency and non-agency RMBS; whole mortgage loans comprising prime, jumbo prime, and Alt-A mortgage loans; and ABS, including debt and equity tranches of CDOs, consumer and non-consumer ABS, and commercial mortgage backed securities. The company has elected to be treated as a REIT for federal income tax purposes and would not be subject to income tax, if it distributes at least 90% of its REIT taxable income to its share holders. Chimera Investment Corporation was incorporated in 2007 and is based in New York, New York.
BEACON POWER CORPORATION (NASDAQ:BCON) - Beacon Power Corporation designs, develops, and commercializes advanced products and services to support stable and reliable electricity grid operation in North America. The company primarily focuses on commercializing its patented flywheel energy storage technology for storing and transmitting kinetic energy. It provides Smart Energy Matrix, a non-polluting, megawatt-level, and utility-grade flywheel-based energy storage system that provides sustainable frequency regulation services. The companys energy storage and power conversion solutions provide electric power for the utility, renewable energy, and distributed generation markets. Beacon Power Corporation was founded in 1997 and is headquartered in Tyngsboro, Massachusetts.
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Friction Factor -- market maker surveillance system tracking Level II market makers in all stocks to determine Price Friction and compliance with new "Fair Market Making Requirements"
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Seasonality -- predicts probability, price move and length of move based on exact time of year for all US stocks.
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