Bill,
Datek aren't the only ones being very cautious, especially with regard to the internuts. This was posted on Schwab:
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Orders for Ticketmaster Online (TMCS) and Ubid Inc. (UBID) will not be able to b e placed electronically. These securities have been removed from electronic trad ing due to expected volatility and fast-market conditions. Volatility and Fast-m arket conditions could result in price quotes significantly different from the c urrent trading price and cause delays in reports of order execution.
Please do not attempt to change or cancel market or market-type orders. It is very important, as duplicate orders could be executed and will be your responsibi lity. If you attempt to change or cancel a market or market-type order, we can only process the request on a best-efforts basis. A strategy to consider is to place a limit order and establish a buy price at the maximum you are willing to pay or a sale price at the lowest you are willing to receive. This can reduce th e risk of placing a duplicate order.
Orders that were previously placed before 9:15 ET December 1, 1998 through a Schwab Representative,on TeleBroker and received a confirmation number or on the Web, and received a confirmation number do not need to be re-entered and will appe ar on Order Status. It is very important that you not re-enter these orders, as duplicate orders will be your responsibility.
Please contact Schwab to place orders or for any questions.
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I spoke to a friend at Schwab, and he told me that they are significantly reducing the marginability of internuts, to restrain both shorting and margin purchases. The view is that the current situation is far to volatile in BOTH directions, and the potential for a wipeout is too great, even for those who have lots of equity. Even top customers, with very large, well diversified portfolios are not getting anything to short. The same appears to be true of many other "widely shorted" issues.
It seems that the brokerages are running a bit scared in all this, as they probably should be. They're looking for a "soft landing" in these stocks without too many wipe-outs.
I agree with you, this is not a good time to open any shorts. In fact, this morning was a good opportunity to close them out. I am now 65% long, the rest in cash, and looking for other good opportunities.
mg
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