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


To: Dominick who wrote (8464)5/15/2000 5:08:00 PM
From: OZ  Read Replies (2) | Respond to of 18137
 
RMBS is not thinly traded (as you already knew). It simply has a high volume to float turnover ratio. It turns its float about once a week. Volume alone is not the true indicator of supply/demand. It is just half. The true indicator is volume to float turnover. You want to see serious volatility due to this ratio, look at AUDC, it really is not day tradable and is better position traded. For a more tradable stock (but extremely volatile) check out DIGL. These can turn their float a couple of times a week.

regards,
Oz



To: Dominick who wrote (8464)5/15/2000 6:36:00 PM
From: E. Davies  Read Replies (1) | Respond to of 18137
 
I didnt say "thinly traded". I said "thin".

What I mean by that is that there are often wide distances between orders in the book (as well as often a wide spread), and that the sizes at each point are commonly relatively small.

Don't forget that a $2 move on a $180 stock is roughly about the same as 3/16 on an $18 stock.

Eric