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

To: Joseph Silent who wrote (814)	8/27/2000 9:47:52 PM
From: gene_the_mm	Respond to of 1426

JOE... NO MATTER WHAT YOU HAVE HEARD OR HOW THE T&S APPEARS TO READ... You can NEVER know what is going on and what actually is a buy or a sale. Why? Well, first of all you have two sides to every trade. It is NOT safe to assume that if a trade takes place at the bid it is a sale and at the offer it is a buy... First, WHO are you trying to determine is doing the buying or selling (MM's, retail, institutions, etc..) . Once you know who you want to determine is doing what, HOW can you possibly do it? A trade is just a trade... a buyer and a seller meeting to do a transaction in the market. It could be an MM v. MM, MM v. RETAIL, RETAIL v. RETAIL, MM v. INSTITUTION, etc.. Regarding question (3): Block prints are usually indications that an MM has 'completed' or is in the process of completing a large order, usually for institutional customers. It is very difficult, however, to determine if the completed order was an institution buying or selling (no matter WHERE it is -- above offer or below bid). Regarding (4): This is a great question. Reading the tape and watching price action is really the ONLY way to determine whether a stock is under distribution or accumulation -- meaning if lots of stock is printing at the bid and the price is going lower it is distribution, and at the offer with a rising price is accumulation. A side not to you though Joseph... OTC BB stocks do not have atypical price action and tickers and therefore they are even MORE difficult to read. Wishing you profitable trading, -- Gene