# Unloading a Large Stock Position



## jcgd (Oct 30, 2011)

This is a new problem for me, or maybe it isn't but I'm curious. I have around 2000 shares of CUQ.TO I will likely unload soon. The average daily volume is 20k shares. Would putting my 2k share out there move the price? Am I selling enough shares that there is anything I need to be weary of?

Thanks.


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## Just a Guy (Mar 27, 2012)

No one says you have to unload in one lump...20k is pretty thinly traded.


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## MrMatt (Dec 21, 2011)

jcgd said:


> This is a new problem for me, or maybe it isn't but I'm curious. I have around 2000 shares of CUQ.TO I will likely unload soon. The average daily volume is 20k shares. Would putting my 2k share out there move the price? Am I selling enough shares that there is anything I need to be weary of?
> 
> Thanks.


Limit order, and be prepared to wait.


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## Woz (Sep 5, 2013)

A lot of brokerages give you the level II quotes which show the limit order book and can give you an idea how much the stock will change if you placed a market order. When I checked CUQ, the last price was 9.05 and the next 3 buy orders are below.


SizeBid3009.054009.0319009.02

If you executed a trade for 2000 shares then the price would've dropped from 9.05 to 9.02. That would change during the day depending on the limit orders people place. As MrMatt said, a limit order is probably the way to go.


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## jcgd (Oct 30, 2011)

Thanks guys. I've never had a trade this large and wasn't sure how to go about it. Thanks for the info.


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## Rusty O'Toole (Feb 1, 2012)

Woz gave you the clue. Look at the order book and hit the bid. There goes 300 shares. Wait a few minutes and check again. You should be able to get rid of the whole 2000 shares 100 to 300 at a time, in a day or 2 without moving the bid on yourself too much.


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## humble_pie (Jun 7, 2009)

nice pick! interesting that you feel the time has come to sell. In the short term your timing looks great.

there are some good suggestions in this thread. Best: work the trade by hand as Woz & Rusty say. Start around 10 am, after the market settles down from the opening. Enter a limit order for 2000 at the bid, or close to the bid, even if the bid size is less than the 20 lots you want. There are transactions that come-from-behind.

then continue to work the trade according to how the day shapes up. If stock is strong, ie there are more bids/buyers than asks/sellers, you can adjust the price slightly up. Also vice versa if stock should (alas) be weak.

OTOH chart for this stock does *not* suggest that there is a strong current of buying interest at this time. That gap up above $10 on high volume in mid-january suggests that another seller may still be in the market, selling his stock just as you are (gap trade was probably a cross.) So in selling, i would tend to pay close attention to the bid, lowering my price to the bid if necessary, in order to get the job done.

there was a nice upturn to share price yesterday, if it continues today i for one would want to execute my sell-2000 order within one day. I wouldn't be willing to drag on for 2 days or longer because recent short-term trading history (charts) is not looking bullish to me ... short-term stochs & RSI are high ...

best of luck with this


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## underemployedactor (Oct 22, 2011)

Hmm, as I recall, jcgd, you worked for a company that was owned by CUQ. What do you know that I don't know that makes you want to dump your equity ownership (if you don't mind my asking of course)?


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## jcgd (Oct 30, 2011)

Well the stock has been on a huge tear the last few years and I'm much too exposed. I had about 1/3 of my net worth in the stock and I don't want to rely in one company so much. 

Honestly I think there may be more upside but I have a few other things I need money for. I'm starting my own business and have a few other places where I need some cash. 

Sold my entire position this morning in the spike in volume. Sold about $10k worth at $10.39 and another $11k at $10.45. Order was executed immediately. 

I buy more every two weeks with my company share purchase plan.


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## humble_pie (Jun 7, 2009)

jcgd said:


> Well the stock has been on a huge tear the last few years and I'm much too exposed. I had about 1/3 of my net worth in the stock and I don't want to rely in one company so much


woo hoo




> I'm starting my own business and have a few other places where I need some cash.


woo *hoo*




> Sold my entire position this morning in the spike in volume. Sold about $10k worth at $10.39 and another $11k at $10.45. Order was executed immediately


felicitations!




> I buy more every two weeks with my company share purchase plan.


every 2 weeks? this must be what they call win-win-win.


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