That's quite possible. I don't dispute that at all. However, when you have a situation of more buyers than sellers, the price will creep up to reflect the disparity. Everything has it's price - even for investors that are "holding on". On the flip side (no pun intended), you could also say that a low daily average volume is a result of nobody wanting to buy the stock in the first place. Works both ways. Everyone has their own opinion; without it, the stock market would be a very boring place to be.Originally posted by 89coupe
Altezza,
ever thought its because most investors are holding and not selling???
With very thinly traded securities, I don't find the illiquidity very attractive. Makes it more difficult to enter or exit my positions at times. If I decide to shuffle or mix things around from day to day, I want to know that I can buy/sell quickly and with relative ease especially during times of increased activity or when I'm fully invested.