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Technology Stocks : 3DFX -- Ignore unavailable to you. Want to Upgrade?

To: Ralph Bergmann who wrote (2533)	4/24/1998 6:00:00 AM
From: robnhood	Read Replies (1) \| Respond to of 16960

Ralph, MM's will not hold the price of a stock at any level, up or down IMO...If there is a promoter or group behind it , they can do that but the MM's wont. This market has a lot of the signs of very well heeled promoters if you ask me. I saw it begin in the bio techs a couple of years ago, and Gandolph really smacked of manipulation. It's the same stuff one used to see in the junior mining sectors . I guess they call them Venture Capitalists now. I don't know if TDFX falls into this category or not, but MM's will only hold the price at a level if they have orders in hand. These guys only trade to win because losing will cost them their jobs. MM's on NAZ from what I've read about them don't really make many investment decisions without orders in hand. IMO quite a gimme, but thats the way of the world , I guess.. russell russell

To: Ralph Bergmann who wrote (2533)	4/24/1998 10:47:00 AM
From: Chip Anderson	Read Replies (2) \| Respond to of 16960

<<How many of those 3.5mill shares will probably sold near term?>> I'm operating under the _theory_ that the 3.5 million shares are owned by a couple of Venture Capital firms that gave TDFX a large amount of money back when they first got started. VC firms are not in the business of holding stock. They are in the business of giving money to start up companies and giving large profits back to their backers. Most VC investments don't pay off as well as TDFX has so far. So I strongly believe that the VC firms are dying to get their huge profits back out of TDFX so they can pay off their backers and invest in new firms. The date that these shares were being unlocked was known well in advance and I suspect that the VC firms "budgeted" the money to other purposes a long time ago. Also, in the past, I've said "MMs are moving the price." In my mind I am thinking that it is some combination of the MMs and the small number of sellers working in a _legally_ coordinated effort. It could be as simple as a "Sell Program" that is sending the sell orders to the MMs in such a way as to minimize the price declines which 3.5 million share will obviously have. I THINK THIS IS A GOOD THING! The alternative is a wholesale dumping of the shares that would result in a much bigger panic decline. While the current price action is driving short-term traders nuts, it is much better for longer term TDFX investors. I am now staying on the sidelines until I no longer see evidence of a "sell program" at work. Chip coolhistory.com