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To: taxikid who wrote (240)	9/19/1998 4:34:00 AM
From: Peter V	Read Replies (1) of 253

Hi taxi, I have a question for you and the thread. You want to short WXYZ, a Nasdaq stock, and the bid and ask are 10 by 10 1/2. You want to split the bid and ask, so you enter an order to short the stock with a limit price of 10 1/4. Let's say WXYZ trades very slowly and you have plenty of time to see your offer on level 2. Does your offer become the bid or the ask? I think it should become the ask, because you are selling the stock, and are therefore not putting forth a bid on anything, but rather you are asking for a particular price on a stock you want to sell. Now of course, your order will not be executed unless someone meets your asking price of 10 1/4, and at that point it becomes the bid and the transaction is executed. However, I'm having a discussion about this on another thread, and the poster says my offer of 10 1/4 becomes the bid. So I thought I'd try to get a clear answer over here. I don't want to be dense about this, but one of us is confused, and if it's me, I'd like to understand a bit better. THanks

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