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Strategies & Market Trends : Win Lose or Draw : Be A Steve, Make A Call

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To: t2 who wrote (772)2/6/2003 2:18:37 PM
From: Win-Lose-Draw  Read Replies (2) of 11447
 
Conspiracy Theory inside, skip this post. -g-

well, if you're of the consipiratorial bent, imagine if instead of three institutions being involved - the one doing the credit spread and the two on opposite sides of each leg - there really are only two institutions involved.

so one did a credit spread - cool - the other did a debit spread - and the net result is a $CPC that signals massive put buying, cover signals ringing all over the place, even our beloved Softie gets a little freaked and...

...we all miss the big downleg. and it only costs an institution a few million bucks or whatever.

fortunately, this is america and stuff like that just doesn't happen here. -g-
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