0.00Open0.05Pre Close0 Volume177 Open Interest2.50Strike Price0.00Turnover0.00%IV-51.89%PremiumOct 18, 2024Expiry Date2.80Intrinsic Value100Multiplier19DDays to Expiry0.00Extrinsic Value100Contract SizeAmericanOptions Type--Delta--Gamma106.00Leverage Ratio--Theta--Rho--Eff Leverage--Vega
Arrayfunction : Would you mind explaining how to incorporate float volume when evaluating a stock? That's one topic I haven't come across in any formal learning material.
I know that it refers to the number of shares available for trading. I mostly haven't figured out if it can be used in the absence of confirmation bias with all the possible branches like.....
Low float -> low liquidity -> higher risk -> removes low-risk investors (obligated like fiduciaries or individual people) -> reduced demand increases volatility -> consumer base further limited -> company becomes undesirable preventing natural share value growth -> share price extremely sensitive to any trading -> outcome ultimately up to market makers vs short sellers -> technical and fundamental analysis become irrelevant -> swing trading is reduced to a game of roulette where you bet on either the market makers or short sellers.
Did I get the standard line of thought correct?
Stock_Drift OP Arrayfunction : Yes. You did. IMO.
Arrayfunction Stock_Drift OP : Thank you! I hadn't mentally spelled it out until writing my question. The way people behave around low float penny stocks suddenly makes a lot more sense!