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Technology Stocks : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: JB who wrote (14760)	2/27/1998 2:19:00 PM
From: Mike Fredericks	Read Replies (1) \| Respond to of 29386

JB- As for Ancr, Monday should be a good day, both for news and it is the beginning of the month. Everyone is waiting for news to move this stock. I agree that everyone is waiting for news, but I wonder why you claim that Monday should be a good day for news? A couple of months ago, you predicted news on a Thursday, I believe, because we all know that ANCR always puts out their news releases on Thursdays. But right after you posted that, someone else posted that you had said just a few weeks before that news was due out some other (non-Thursday) day because we all know that ANCR puts news out on that day of the week. Neither of those predictions were accurate. I'm just curious if you have a real reason for saying that there should be news on Monday, or if it's just the same wishful thinking that is on everyone else's mind here. Thanks, -Mike

To: JB who wrote (14760)	2/27/1998 3:50:00 PM
From: Alan Aronoff	Respond to of 29386

Thank you for responding JB but I basically disagree with your comments. <<Traders or Market Makers in this stock know the stock and play it accordingly.>> Some traders and MMers make money and some lose money. Some make it and then lose it. Some lose it and then make it back. Some MMers like to be net long. Some like to be net short. Some try to stay flat. Traders, by formal definition, go home flat at the end of every day. They are all using the same fundamentals, technicals, and rumors that everyone on this thread has access to. <<Normally at the end of the month and the middle of the month, they square up their positions.>> I could be wrong but this makes no sense to me. The reason to be net long or short is based on current and historical trading patterns, usually fueled by fundamentals and rumors. Why on earth would someone not take advantage of a trading opportunity simply because it was the last day of the month? <<Most of the traders square up daily.>> Yes <<It is their report card to the firm they work for as to how well they are doing.>> They close their positions at the end of the day as a way to manage risk i.e avoid gaps on the open the following day. <<The last three days on low volume show me that they are trying to lower the price so as to cover any naked short position.>> Since ANCR does not trade options, the only way to have a short position is to be short the stock. I believe "naked" is only used when options are involved i.e you are writing puts or calls without having a respective short or long position in the stock. I do not understand who the "they" is. You seem to be implying that all the traders and MMers have colluded to short ANCR. I have a very difficult time believing this. I also don't see how the low volume has helped you come to your conclusion. If "they" are trying to lower the stock price I would expect volume to increase. <<I had a friend on the New York Stock Exchange tell me one time about a trader who was filling in for a specialist who was sick one day. He had the specialist book with all the stops listed for buys and sells. During the day he ran the stock up and took out all the open order sells and then took the stock down and took out all the open order buys. He closed the stock unchanged at the end of the day with a hefty profit.>> It is my understanding that OTC MMers do not have any clue as to where stops and limits are placed. I'll have to double check on that. One can easily assume that stops and limits get built up around support and resistance levels. I also recall reading that there is a tendency for people to place them at whole numbers. <<As for Ancr, Monday should be a good day, both for news and it is the beginning of the month.>> You have already proven to me that you have no clue as to when ANCR puts out its press releases. I do agree that Monday will be the first trading day of March. FWIW, the close on the first day of trading in March '97 was below the close on the last day of trading in Feb '97. <<Everyone is waiting for news to move this stock.>> News moves stocks. No revelation there. It appears some are not waiting for the news or ANCR would still be trading at $4. <<I am still looking for the update on Kinnard.>> It seems likely that Kinnard will eventually put out a new report. That's what analysts do. Have a nice weeekend.