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Non-Tech : Meet Gene, a NASDAQ Market Maker -- Ignore unavailable to you. Want to Upgrade?

To: Pierre Borczuk who wrote (276)	7/30/2000 3:03:36 PM
From: gene_the_mm	Read Replies (2) \| Respond to of 1426

REGARDING SPOOFING--PIERRE PLEASE READ... Pierre, Thank you for your post. The item you labeled as #1 in your post (regarding ways you feel MM's manipulate stocks) is refered to as 'spoofing'. The SEC has made a public statement that any pattern of activity where an ECN 'flashes' a quick size order 50,000 - 100,000 or greater bid (they did not put a quantity amount), and then disappears will be 'red-flagged'. What the SEC will investigate is where the initial order originated from and what course of action that participant had taken AFTER the bid or offer flashed and disappeared (in other words did the participant post a size offer while he was on the bid and then buy the heck out of the stock from the panic). This manipulative act deemed 'spoofing' by the SEC has been noted and will be looked into. The SEC has said they will examine a 'pattern' of this behavior by market participants (sometimes traders actually do something that stupid and post an accidental size bid or offer, but not the amount of times we see happen during the trading day). Someone sent me a link to the SEC website regarding this information but I seem to have lost it. If anyone can provide further information for Pierre and other readers it will be appreciated. Thanks for the post and the kind words, -- Gene