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Strategies & Market Trends : The Final Frontier - Online Remote Trading

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To: TFF who wrote (2692)2/10/1998 7:47:00 PM
From: Susan Saline  Read Replies (1) of 12617
 
irby

would you please explain the difference between "liquid and non-liquid" stocks. Give me some examples. Thanks, Sue

your post # 2692

Once again previous trades tend to be a better indicator than the spread because of
opprtunity for traders to manipulate the spread, especially in non-liquid stocks.
Unfortunately in non-liquid stocks there may not be enough previous trading to get a
good feel for the trend...and that is one big reason why I rarely trade non-liquid stocks.
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