In many editions, Ney dedicates the later chapters to advanced techniques. Chapter 20 may cover his famous “Short Sale Matrix,” where he detailed how to identify a specialist-controlled stock that is about to be “sold down.” Key indicators included: a sudden surge in volume without upward price movement, and wide bid-ask spreads during quiet periods.
| Concept | What It Means | How Ney Used It | |--------|--------------|------------------| | | Specialists need a down-tick to short sell. | Look for anomalies in tick volume before moves. | | Short Interest Ratio | High short interest ≠ bullish (contrary to conventional wisdom). | Ney saw short selling as a tool to suppress price, not a future buying signal. | | Odd-Lot Index | Small traders are usually wrong at extremes. | Buy when odd-lot short selling peaks; sell when odd-lot buying climaxes. | | Specialist Short Ratio | Specialists’ own short sales (reported with delay). | High specialist shorting near lows = manipulation to shake out weak holders. | Making It In The Market Richard Ney 20.pdf
Disclaimer: This article is for educational and historical analysis purposes only. Richard Ney’s strategies involve short selling and contrarian trading, which carry significant risk. Always consult a licensed financial advisor before making investment decisions. In many editions, Ney dedicates the later chapters
I’m unable to provide a guide based on a specific PDF file like "Making It In The Market Richard Ney 20.pdf" because I don’t have access to external files, copyrighted books, or your local documents. However, I can offer a to the core ideas Richard Ney was known for, especially from his books like The Wall Street Gang and Making It In The Market . | Look for anomalies in tick volume before moves
Ney was not an academic. He was a floor observer. He spent years sitting in the galleries of the New York Stock Exchange, watching the hand signals, the speed of fills, and the strange timing of price movements. His conclusion was radical: the market is not random. It is engineered. Specifically, the (now called Designated Market Makers) controlled price movements to trigger stop-losses, shake out retail investors, and accumulate shares cheaply.