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Strategies & Market Trends : Level II Trading -- Ignore unavailable to you. Want to Upgrade?

To: Street Walker who wrote (75)	2/4/1998 8:08:00 PM
From: Dominick	Read Replies (1) \| Respond to of 1086

Street Walker: I believe the MM carry little or no inventory. So, if they get hit with a lot of trades it takes awhile to recover. Also, the SEC made them narrow the spreads. By the examples you gave, it's their way of saying OK you made us narrow the spreads but you didn't say anything about what we need to do up & down the scale. The NASD is now looking for a "pattern of practice", instead of individual violations. In other words, it's ok as long as your rate of backing-away is low. Who defines low??? Dominick

To: Street Walker who wrote (75)	2/4/1998 8:37:00 PM
From: funk	Read Replies (2) \| Respond to of 1086

What street walker said! ; ) no doubt about it prettiest picture of manipulation in recent memory.....look at the chart of AZPN. Imagine how the investors feel that sold at 23 1/2. Alex which house do you work for? hehe Now I'm going to go hunt down a MM's post to SI from December. A MM in his own words.... I've printed out that post and will be taking it to work tomorrow, where the traders on the desk will get a huge laugh out of it. Ben, if you think you are a client of mine or any other MM, or that we are in business together, or that I will not use every technique possible to out-trade you and take your money in any way I can so I can put braces on my kid's teeth and send them to private school, you should put all your money in an index fund and watch the game from the sidelines. The only "clients" I have are $20 billion mutual funds and hedge funds open only to the extremely rich. This is an extremely important point to understand if you are serious about playing this game. #87 post on the "Stocks with an Attitude Team" thread kinda mean LOL funk

To: Street Walker who wrote (75)	2/4/1998 11:28:00 PM
From: ExCane	Read Replies (1) \| Respond to of 1086

Street- I don't want to sound like the defender of MM's but feel I have to make some comments on your post.... "After ALL buys..and NO sales (truely "HOT" buying), the mms' dropped the bid from 10 3/4 to 10 1/4 then to eventually 9 3/8." If the MM's didn't have stock for sale, what MM's would want to take the risk of being short that much stock? "When bad news hits a stock and it's on the loser list, it reaches a certain level and strong buying occurs, with no sells....Don't engage in this battle!" Ever hear of sellers? big sellers coming in over and over? "When good news comes out, MM's will drop the price to activate the stop losses and acquire shares, before making a run up in price." How do you know this? Are you doing a reader of this thread a service with this paranoid fantasy? Let's hear about Level2 trading. Otherwise no one will trade against these MM's if they follow your scenarios. Let's hear a sound safe scenario, if there is one. -Alex

To: Street Walker who wrote (75)	2/4/1998 11:48:00 PM
From: Joey	Read Replies (2) \| Respond to of 1086

<After ALL buys..and NO sales (truely "HOT" buying> <strong buying occurs, with no sells.> How can you buy something that is not being sold?

To: Street Walker who wrote (75)	2/5/1998 7:43:00 PM
From: G.F.	Respond to of 1086

What I learned about MMs today was expensive. If you see them pushing the stock against your position, get the hell out of the way. They have obviously built a position and are pushing its value up. That may seem obvious, but one thing to look out for is a lack volume going in their direction with the price still moving that way. Look for numerous small positions come in that immediately counter positions against their direction (they can do this since they have no transaction fees) This keeps the "price" for non level II watchers going in the MM's direction. Anyway, if you see this building get out quickly or possibly reverse your position because the price may gap. Comments... GF