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To: gbh who wrote (4120)	9/17/1999 8:43:00 PM
From: Mad Bomber	Respond to of 10027

[shorting] I agree with your observation of heavy shorting. However, some shorts have probably covered already. I saw ISLD many times jumping back and forth between ASK and BID with over 100, i.e. 10000 shares. This stock seems to usually have decent spread and definitely broke an obvious support level, which usually cause every day trader and their dog to play it down. I am not against day trading as I have done it myself.....But, I have noticed the phenomenon that consistent trading in one direction (SHORT TERM) really can affect a stock price. I do not believe that day trading is net neutral on a daily basis even though most close out positions. This stock is under pressure and will remain so by traders until fundamentals DEMAND that long termers, value investors, and institutions jump in. Unfortunately, OCT is probably not a good month to hope for that. It could take till JAN for some really strong upward movement. Look at foreign country currency markets as an example. Once they are under pressure, everyone is driven down by heavy trading until fundamentals make it a no brainer for the solid countries. Look at the bright side. I think the traders providers opportunities to get good companies at great prices. MB

To: gbh who wrote (4120)	9/17/1999 8:52:00 PM
From: Mad Bomber	Respond to of 10027

[day trading affects] Some examples of what I am talking about are SDLI and AMCC. I almost got crushed shorting them looking for peak in the SOX and semis which have gone way up. SOX has peaked in OCT every other year for several years. Being on the short side watching traders move SDLI up was astonishing. I took risks SHORTING, SHORTING, and keeping SHORTING until I broke even, kind of like MM. However, it did not take much volume to move it. MM's contribute as well by posting only 1's and then moving quote up every time they get hit for puny 100 shares. Actually, sometimes it is kind of funny watching MM's and ECN's scrambling out of the way. Also, they are very good at fading the trend by raising the ASK very quickly in up market and leaving the BID flat hoping to buy back straglers shares who are slow on the draw. Same in the opposite direction. Doing the same thing as day trader can be VERY profitable from what I found but you have to be almost perfect in picking the tops and bottoms because you could only get the executions you needed when the stock is still moving in the opposite direction. MB