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To: Giordano Bruno who wrote (346602)	10/26/2007 10:41:43 AM
From: NucTrader	Read Replies (1) \| Respond to of 436258

I take it your question is why are the QIDs holding up relatively well considering the big spike in the NDX? Although there are probably complex factors in play, I think they're manipulated, among other things. I remember hearing on Fast Money one of the guys talking about QID (believe it was Eric Bolling) and he said if you traded them to just be aware, that the QIDs were where the "big boys" played. Personally I've found them a very poor way to short and have stopped trading them: on big down days in the NDX they don't go up correspondingly and for a large part of this year they've gone down in value for the relative position of the NDX - like 4 months ago with the NDX @ say 2794 the QIDs were @ 42, now with the NDX @ the same level, the QIDs are @ 35. Of course, ultimately they're supposed to be valued according to the prices of the underlying stocks, but with all the volatility their value is often independent of the underlying stock, as least for short periods of time. Also, by shorting the QIDs, you've created a synthetic long with a dividend...IMHO they're a lousy way to short...