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Strategies & Market Trends : Playing Hammered Stocks for a Bounce, But How? -- Ignore unavailable to you. Want to Upgrade?

To: JEFF CHAPMAN who wrote (67)	1/28/1998 12:16:00 PM
From: Keith Lenart	Read Replies (1) \| Respond to of 159

>>For many of these stocks, is it possible to trade 5k blocks w/o causing uptick and downticks in the stock... I guess that might be why you do a limit order also...<< Precisely... If you are a SOES trader and can get immediate execution, market orders are probably ok. I'm not, so if the issue runs away quickly, I'd rather not take the chance of getting filled at the high. In fact, I'll sometimes fade such runners. E.g., made 3/8 at the first Intraday top of VESC. >>Do you find it a profitable trading strategy and do you think you need level 2 access to make it profitable in your opinion?<< I find that level 2 helps me feel more confident when I believe a stock is short-term topping or bottoming. I also rely on intuition a lot. If level 2 and intuition are saying the same thing, I jump. Regarding profitability. Sure, any strategy on volatile stocks can be profitable to the short term trader if executed properly. Likewise, it can also be detrimental if not. For instance, VESC provided several opportunities for the long and short side yesterday.