On February 24, 2024, research found the 20+ Year Treasury bond ETF (TLT) appeared to be under accumulation. Extremely large block trades have crossed the tape since October 2023. This level of trading indicates Market Makers are involved.
In addition to this it appears Intel has been under accumulation since August 2024. Market Makers took the opportunity to drop Intel 26% on August 2, 2024 due to a big miss on earnings. Following this decline, extremely large block trades started crossing the tape. This accumulation process is still underway.
In both cases similar accumulation events occurred in 2010 and 2011 before prices started moving higher.
“Big blocks at the tops and bottoms of all moves become larger and more frequent depending on the duration and precipitousness of the move.”
Richard Ney, Making it in the Market, 1975, page 89
“Most investors will probably never make money in the market over the long run unless they learn to look at the market as a merchandising operation in which [Market Makers formerly known as] specialists manipulate stock prices in order to sell at retail what they bought at wholesale price levels.”
Richard Ney, Making it in the Market, 1975, page 33
Note that this information is for educational purposes only and not a recommendation.
Stock charts courtesy of StockCharts.com.
