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Strategies & Market Trends : DAYTRADING Fundamentals -- Ignore unavailable to you. Want to Upgrade?

To: Paul Viapiano who wrote (1542)	7/6/1999 12:58:00 AM
From: Raymond Duray	Respond to of 18137

Hi Paul, What makes you think that the intraday swings of the market will subside? In view of the greatly reduced volume on the markets at this time of year, one might postulate that we should be seeing a lessening of volatility just on a seasonal basis alone. Yet that is certainly not the case. It is more the case that investment bankers have been dribbling out the shares of hot IPOs with the purpose of creating volatility due to a supply imbalance. Is it your belief that at some point Mr. Market will decide to become rational and value things on Tuesday the same as he did on Monday, with some allowance for market price to actually reflect better profits, cash flow, etc? Why should that be the case? I think there is an equally compelling case for greater volitility because it benefits certain sophisticated players in the market. The MMs and the Momo guys come to mind, and I doubt they want to do anything to diminish their opportunities to create and ultimately benefit from mispricing in the market. Have I got it wrong? Does Mr. Market prefer boredom to action? Somehow I doubt it. Best, Ry