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To: fftrader who wrote (142)11/10/1999 8:22:00 PM
From: TFF  Read Replies (1) | Respond to of 212
 
This is very large subject that I would prefer not to rehash. You should educate yourself by reading the archives of this thread:

From The Trading Desk
Subject 15612

Believe me you won't regret it.



To: fftrader who wrote (142)11/10/1999 8:37:00 PM
From: WryBoy  Read Replies (1) | Respond to of 212
 
You cannot possibly hope to buy on the bid and sell on the offer on every trade!
You should try, however, not to pay the spread twice. One example of this would be
to hit the inside offer to get long, then offering out as the rise rises. If you bid into
weakness as the stock comes in and are lucky enough to get filled just as the momentum
turns, terrific! Now you either offer out as the stocks rises or "hit the bid" to get out.
Shorting is a little more tricky because you need an uptick, but it's essential the same
idea in reverse.

WB