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Strategies & Market Trends : From the Trading Desk -- Ignore unavailable to you. Want to Upgrade?

To: steve goldman who wrote (3012)	5/10/1998 10:14:00 PM
From: Richard James	Read Replies (3) \| Respond to of 4969

Steve, Placed an buy limit for an Nasdaq stock with a discount web broker. call it SureeThing (not real name), ST for short. Market was 10 15/16 X 11 1/8, 1500 X 100 when I placed a limit buy for 1000 at 11. after a minute or so the bid goes to 1000 at 11. I suppose since I wasn't hit my bid was broadcast. OK. A few more minutes go buy, and a 1000 shares trade at 11, but my order wasn't executed. Wait a couple more minutes to make sure it wasn't my order, since confirmations sometimes take a couple minutes. This is the cute part. I don't cancel my order, but enter a change order, the only change being the price. Change it from 11 to 10 3/4, which I suspect drops my price 1/16 behind the insider market maker. I immediately check my order status. Surprise, my original $11 order executed while my change order was pending. I think my broker was front running. Holding my shares. If the market went against me, ST would execute my order. If the market was with me, I would never get a fill. BTW, I was happy with the fill and only changed my price to push the broker into filling my order at 11. The stock never sold below 11 in the past month, I bought last Tuesday and it closed Fri at 11 7/16. Sound like I may be right about what the broker was pulling? (This particular broker provides minimal confirmation information: the date but not the time of trade. Even DATEK provides immediately proveides the exact time of order entry, executions and cancellations.) Richard James

To: steve goldman who wrote (3012)	5/11/1998 1:40:00 PM
From: nick nelson	Read Replies (2) \| Respond to of 4969

Steve, When a market maker accepts an order by a Net account to sell at the MM's bid, does the market maker know, before accepting the sell, whether it is 'short' or just a 'sell?' Does he really care which it is? How is a short sale recorded to tape.... just as a sell, or is there some way to determine whether it was a 'short' sale? Who keeps the sales records on short sales? Do some 'time & sales' printouts clearly differentiate between sell and 'short' sell or buy and 'covers?' When the bid drops very quickly, say in a OTC:BB stock or Nasdaq Sm Cap, who is driving the bid down so quickly? Have all the MM's agreed to bring down the bid simultaneously, is one market maker selling his inventory to other MM's, or is it a trader(s), not another market maker, who is repeatedly knocking out the low bids of all the MM's in the stock... driving the price down? What's the most likely scenario? Can a market maker(one person) be both a trader and market maker in his own stock... one minute he's buying and selling other's requests for his stock, the next minute he's pounding the bid or ask of another market maker with his own stock? Thanks, appreciate your time and effort.... if this has been answered in other posts, just the Reply# would be adequate. nick