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Technology Stocks : Apple Inc.
AAPL 277.25-0.6%12:00 PM EST

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To: HerbVic who wrote (28998)10/3/2000 9:15:20 AM
From: Wayners  Read Replies (1) of 213173
 
If the stock gaps down at the open, it's because the sellers are lining up and the buyers have vacated.

The gap might not always be caused by sellers lining up and buyers vacating the particular stock. In fact there may be few sellers and few buyers, but the MM's will readjust their bids based on what say the Nasdaq futures or S&P500 futures are doing in the premarket. Thats why you see large gaps but when you see the actual volume of the first few bars of day there is no real volume to cause the gap. Of course when the actual company has important news, you'll see the big gap plus volume--but I see the first situation far more often.
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