…institutional investors which benchmark the index will look to buy significant amounts of shares at the close of market on June 16, 2017.
The majority of index buying will occur near the close of market on Friday, June 16, so they can be perfectly weighted to the S&P/TSX Composite Index when trading starts on Monday, June 19.
Can we call this a bust? I don’t see any evidence of a spike in volume this afternoon.
The last time I had a holding that was added to an index it was less than dramatic.
There are so many technical indicators this, technical indicators that, frankly none of them in my experience have added up to a hill of beans, outside perhaps to a day or two and things go back to normal, asnif nothkng had happened.
Here SHOP, like most fast growth tech stocks had a bad week or two, totally unrelated to anything else.
I don’t buy it. What if SHOP or whatever company that’s going into an index, gained 10% today? If I were a manager for a brokerage or an index-tracking ETF, and I waited til the last half hour of the day before I had to track a new stock, I’d expect to need a new job on Monday. I suspect some of the action over the last few weeks was institutional buyers trying to get a few shares tucked in when there didn’t seem to be enough to go around. It’s tough to fake having shares of a volatile stock (unless the volatility is downward, then you could say, “Darn!” and laugh all the way to bonus window 'cuz you “forgot” to guy the loser.)