This is a forum intended for an enlightened discussion of the reality
surrounding the true function of market making activity.
First of all I would like to point out that it is NOT the function of any
market maker to fulfill our wildest fantasies of greed. It is a business
plain and simple. Market makers incur risk just as any individual investor
does. Their rules of avoiding risk directly impacts the investor's wish
to profit. Since they are the middle men in the world of stocks it would
be helpful for us to understand how they operate. I believe that a
thoughtful discussion based on knowledge, experience and insight of this
pivotal aspect of the individual's stock market decisions will be of great
value.
I realize that not all market makers (mm's) are, shall we say, beyond
reproach, so any information as to the integrity of any particular mm
would,of course, be useful.
The main focus, though, should be how to best interpret mm activity so
as to make more intelligent trading decisions.
I thank you all in advance for your contributions.
Doug R
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