What is the 'Oreo
🍪
Rule' of market making?
Oreo slogan:
Twist it, lick it, dunk it
Method of pulling K:
Pull it, slow down, take a look
1/ Pull it:
Measure the market/Pull the market
2/ Slow down:
Various secondary forms of K lines appearing with various micro-operations
Channels, boxes, wedges, flags, old lady going down the stairs, old lady taking a plane
Fluctuations in volatility decrease and increase alternately
The effectiveness of efficient and inefficient markets rises and falls
3/ Take a look:
Observe selling pressure and market reaction
Decide how to start the next market making cycle
