Market lesson · Market lessons
Dark pool levels as support
A big print marks a price someone cared about.
A dark pool print is a large block trade executed off-exchange. When an institution trades several hundred thousand shares at a specific price, that level matters to someone. Whether it was a buy or a sell is unknown.
Two prints become two levels.
DARK POOL PRINT 1.2M and DARK POOL PRINT 0.9M mark prices where large size traded. Direction is unknown, so watch how price reacts when it returns. A hold and bounce says buyers are active there. A clean break says they are not.
The print becomes a level.
Large dark pool prints cluster at prices institutions care about. Watch how price behaves when it returns to a level where a major print occurred. A single print can be anything. Three prints at similar prices over several days marks a level someone keeps trading in size.
A stock had a 500,000-share dark pool print at $62. Price has pulled back to $62. What is most useful to watch?
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C. How price reacts at $62: does it hold and bounce, or break through?. Print direction is unknown, so the reaction at the level is the signal. A hold and bounce suggests buyers defend it. A break through suggests they do not.