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Strategies & Market Trends : From the Trading Desk -- Ignore unavailable to you. Want to Upgrade?

To: Melissa McAuliffe who wrote (2488)	1/31/1998 10:41:00 AM
From: Susan Saline	Read Replies (1) \| Respond to of 4969

Stops If you have a stop/loss on NAS NYSE or AMEX your stop loss amount becomes a market order when the stocks buy price reaches your stop/loss price One very bad point to real stop/loss orders is:: If you have 200 xzy at 20 and you place a GTC stop/loss order at 18..... ... IF the stock gaps down upon the opening at 15, your stop/loss order becomes a market order, your order is triggered, and your stock sells at the opening price (or close to it) of 15. Good chance your stock will sell at the open, which could very well be the lowest price of the day, as gap downers often rebound some from that opening low. This is a good reason for mental stops vs. real stops. This is correct, Coyoti?? Sue

To: Melissa McAuliffe who wrote (2488)	1/31/1998 2:43:00 PM
From: steve goldman	Read Replies (3) \| Respond to of 4969

Imagine a stock is priced on level2 as such;;.... abcd 9 1/2 zyas 10 xyas 9 sdfdf 11 poer 8 tsdf 12 Now, you are firm abcd,...you want stock...you are bidding 9 1/2. Thenext firm is 9.....you say to yourself, hey, lets drop the thing to 9 1/16.....we stillhave priority, we can always come back to 9 1/2...and in dropping it, we might setup stops and stop limits anywhere from 9 1/2 to 9 1/8..... Now you take in stock at 9 1/16, 9 1/8...fill your coffers, then pop up to 9 1/2 again. The question to ask, is..."if I give my firm a OTCstop order, does it become live once the stock's bidprice falls to my level or prints at my level.". In the example above, the stock could fall to 9 1/16....noone sells there because its too low........after getting border and seeing it didn't work the firm goes back to 9 1/2....if you need a print at 9 1/8, your limit, this gimmick won't work. I would specific that the stock print at your stop before they take you out. That way,you arent the first print at that pricing, establishing the new low. Regards, Steve@yamner.com

To: Melissa McAuliffe who wrote (2488)	2/7/1998 3:11:00 AM
From: Edward Ip	Respond to of 4969

Actually, I am currently using E-Trade, and they do offer Stops on OTCs. But I am not sure how they process the order. Can some please fill me with some info...