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Scaling up positions for small caps
Been trading mostly large caps with decent liquidity, so scaling in/out hasn't been an issue. Now looking at some smaller $SPCX names and finding my usual order sizes move the ask/bid way too much. How are you guys managing to build decent positions without completely telegraphing your intentions or just eating huge slippage? Do you just accept smaller position sizes as a trade-off?
1 comments · 1 points
For smaller caps, I've found it effective to use limit orders spread out over a longer period, sometimes even days, especially for larger blocks. It takes patience, but can significantly reduce slippage and avoid telegraphing too much at once. Have you considered breaking your orders down into much smaller chunks, even if it means slightly longer execution times?