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To: Wayners who wrote (29072)	10/3/2000 1:34:30 PM
From: HerbVic	Respond to of 213173

Agreed! But in that case the MMs are reacting to each other and their perception of the overnight change in trend. If they are wrong, the volume tells them, and they quickly adjust their bid and spread with the intent of increasing the trading volume. The volume is their friend. The gap isn't unless they are caught long at the end of the previous day, which happens due to market dynamics. If it happens to all of them, they may get away with forcing a gap up to clear their inventories. But in a downtrend the gap up will never hold. And even if it does for the first few minutes, the MMs with the largest cache will get left holding if the trend is clearly down. Just look at AAPL's movements across the past few openings. The point being that MM's don't very often cause price changes, but follow due to complex supply/demand matrices. HerbVic Re: Thats why you see large gaps but when you see the actual volume of the first few bars of day there is no real volume to cause the gap.