To: Metacomet who wrote (1408 ) 2/12/1998 1:03:00 AM From: (Bob) Zumbrunnen Read Replies (1) | Respond to of 6464
I'm usually the first to disagree with MM-conspiracy theorists, as it's been my experience that their activities are on the up and up the vast majority of the time, but I've also seen the underhandedness sometimes. One I saw happening today with AGTI has been played out before. You can tell by watching the b/a movement when they're trying to discourage buyers and encourage sellers. I've found out through experience (and was able to take advantage of it today on AGTI) that when the MMs are in this mode, they'll gladly sell you shares at the bid because they know most people watching will think it was a sell rather than a buy. Anytime I see that particular game happening, I will typically buy the stock at the bid, regardless of any other factors. When it's happening, the MMs want shares, and I figure if they want them, so do I. The volume has been so crazy on this one, along with the price, that I can't really say for certain whether I think games are being played. One thing I'm sure of, though, is that we have the MMs to thank for the stock closing above $1.00 today. Had they been so inclined, they could've dropped this thing down to 50 cents. The selling pressure was there. Especially at the end of the day. The stock wanted to drop below a buck, but the MMs were supporting it. Buying up the flood of shares that were being sold to them. I haven't looked at the time and sales, but when I was constantly updating the quotes in dbc, it looked like the last half hour was far more sells than buys. I am cautiously optimistic about tomorrow's activity. I think that if the MMs were trying to keep the price above $1 today, they'll be trying just as hard to sell those shares back to us at an even higher price tomorrow. I think they're sitting on a LOT of $1 shares now.