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Does MM like CSL into current weakness?

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Does MM like CSL into current weakness?

Hi Team, I lost the question while typing. Hence, I am asking again. Do you think buying CSL now is akin to catching a falling knife? Why is there such a variation in CSL sale price before the market opens? Please explain what the symbols EC and EP represent. I suppose XT means cross. Please include this question in next week's Q&A if I have missed your cut-off time. Thanks & regards, Sidney


Hi Sidney,

A question in two halves here around CSL, and the open:

  1. We believe CSL has now fallen into an “accumulation zone” and MM is considering the stock over the coming months but we are cognisant that the whole Healthcare Sector has been struggling for months hence we prefer the idea of a staggered entry.
  2. The lines of CSL “trades” you have listed (and we removed for simplicity in the report) are not actual trades just where/how it would theoretically trade if it opened at that point in time, but as further bids and offers are entered into the system the opening print will by definition change e.g. more fresh buying orders, above/around the match, will push the price up and vice versa. You are essentially referring to the opening auction of the market. Here is a link to some further explanation from the ASX around different market phases.
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