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To: TelecosmFan who wrote (9092)	11/11/1997 6:24:00 PM
From: D.J.Smyth	Respond to of 25960

market makers do drop stocks to squeeze margin calls. then they buy their brains out on any positive news to the upside.

To: TelecosmFan who wrote (9092)	11/11/1997 6:52:00 PM
From: missing	Read Replies (1) \| Respond to of 25960

Market Makers? Isnt that the system on the NYSE? Those are the guys that match buy/sell orders. Isnt NASDAQ an over-the-counter supply/demand type of system? Would appreciate if a professional would confirm/correct this.

To: TelecosmFan who wrote (9092)	11/11/1997 8:54:00 PM
From: WaveSeeker	Read Replies (2) \| Respond to of 25960

>In a case where a stop is placed at say 18. Would the market maker just drop the price momentarily only to buy the stock at a much lower price? Absolutely, either the even number (18) is defended because of the bids at that level, or the price plummets through. I recommend a stop at 17 7/8 - when the bids get hit at an even number, the price usually rushes through to the downside. - Mark

To: TelecosmFan who wrote (9092)	11/11/1997 9:28:00 PM
From: rsc	Read Replies (1) \| Respond to of 25960

Ed, I have only used a stop-loss once. I was curious, and so placed the stop on a stock I intended to sell anyway. The education was worth the smaller gain. I placed the stop 1/2 point beneath the current bid on a day during which this stock unrelentingly trended upwards. Within one minute of my placing the stop, that momentum stopped, switched direction, and the stock headed down. Once my stop was eaten (the correct term, Candlestick?), the stock then resumed its upward movement. I will never use a stop again. Richard P.S. The next day the stock gapped down 2 points, and has been going south ever since.