bids are building up (1k wall @ 123).
I am expecting some nice dumps on bitstamp.
Bids are building up and you think price will *drop*?
It's not impossible I guess, but not very likely IMO.
those 1 k walls are nothing in comparison to mtgox order book, but are big enough for bitstamp. remember that bitstamp is processing withdrawals.
we all know that volume on bitstamp is small, so we have this market depth, but with bids building slippage is smaller and you could actually effectively test the price.
last week somebody dumped 2 k btc, and brought the price to 115. today 2k dump would bring the price to 123.
For me to dump on bitstamp is now tempting .
That's a bold statement. Last time I checked, 30d volume on bitstamp was about 60% that of mtgox. That's not exactly small. But I agree with your comment on bitstamp market depth, it is way less than 60% of mtgox.
re: "dump looks tempting". Sure, and those dumps happened in the past. But my point was, in the past month or so, bid/ask ratio was a relatively reliable, leading(!) indicator for price movement. Pretty imprecise unfortunately (i.e. ratio change and price change aren't proportional), so I never traded directly on it, but as an indicator of the general direction, it seemed to work well.
