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Technology Stocks : Intel Corporation (INTC)
INTC 48.80+5.0%3:59 PM EST

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To: Raymond Thomas who wrote ()1/13/1997 4:54:00 PM
From: simon hui   of 186894
 
Can anyone explain how the "MM" can ( or at least trt to) move stocks
in their favor direction ( say going down when they have shorted
a bunch of calls)? Espeically in the case of stocks like intc, does
that require shorting(or selling) a lot of intel stocks ? For example,
MM sold a bunch of Jan 140 calls, what's the point to move the stock
to close below 140 by expiration? Say the motivation is such that the
calls will be worthless, and their intel stocks won't be called away.
But trying to move down the stock by selling it down, he probably
need to sell a lot around or even below 140 anyway. So can anyone
explain the WORKING( for the MM) mechanism. Thanks
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