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Microcap & Penny Stocks : FAMH - FIRAMADA Staffing Services -- Ignore unavailable to you. Want to Upgrade?

To: Rick D. who wrote (5204)	3/5/1998 11:33:00 PM
From: Jane4IceCream	Read Replies (3) \| Respond to of 27968

Rick D, I appreciate the nice comments...Thank You! To explain how the market makers influence BB stock price movements might take me a l-o-n-g post to explain. I am hoping somebody here can help me by posting a URL for Rick to access quickly that explains the process in detail! In a nutshell, the market makers attempt to drive these stocks down and create volume to shake shares loose from nervous investors so they can buy them at depressed prices in order to sell them at higher prices when the stock runs on forthcoming news or hype. Of course the opposite occurs when the stock is running and that is for the market makers to offer the shares at escalating prices to create interest or a frenzy, if you will that investors feel they might miss the boat if they dont buy the shares now! If you put a buy or sell order in at market price it is the obligation of the market maker to accept that order, but that can be dangerous depending on the spread and if the stock is in play. If you put a limit or stop order in, the market maker can hold off filling that order or can switch positions with another market maker. I have only touched the surface. Good Luck with FAMH as I think you have made a wise purchase. And have some Candy! Jane

To: Rick D. who wrote (5204)	3/6/1998 12:45:00 PM
From: Mark[ox5]	Read Replies (1) \| Respond to of 27968

Rick D.. I like your weekend Top 40 show.. oh wait, that is Rick Dees. More seriously, regarding your question of market makers.. they can short a stock. More importantly, they can naked short a stock meaning they dont even need to have the shares in hand. Im not saying this is the reason the stock price hasnt continued its increase, but from reading the posts of a market maker or 2 in the past, its really a mind game with them. What they "show" to people with Level II (showing bid/asks etc) is not always their true intentions. They might sit on a bid or ask to give an idea they are willing to buy or sell, when in fact they want to do the exact opposite. There are people who make a living "battling" the market makers so its a mind game between the 2 of them... After reading this over, this might not make much sense to someone new to the stock market, but just understand that market makers play a lot of games .. they make money by pocketing the spread, and occasionally buying and selling for their own pockets.. and they have the power to subtly influence the price which is a heck of an advantage over us. SO volatlity and "panics" either upward or downard are to their advantage. Last, the OTC-BB is a market makers paradise and they dont want to lose a stock like this (gaining attention) to NASDAQ or AMEX (which are more regulated) so this could be yet another reason to "try" to hold the price down. Ok..really last, the stock market is supply and demand. With enough demand, it wont matter what the market makers do. Hopefully, that point will be coming soon. Doing something, Mark