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Microcap & Penny Stocks : ProNetLink..(PNLK) -- Ignore unavailable to you. Want to Upgrade?

To: LT who wrote (2875)	5/11/1998 7:20:00 AM
From: Dixie7777	Read Replies (1) \| Respond to of 8242

A word about "STOP-LOSS" orders for the naive and uninitiated, Below is "another," (why re-invent the wheel,) borrowed post about the MM's mischief surrounding the use of stop-loss orders. While no one on this or any other thread can tell anyone what to do, it's necessary to occasional remember that we are here to learn from our fellow investors. With the scenario as outlined below, one would be advised to be especially prudent in their use of these (designed for the MM's,) stop-loss orders. Remember, the MM's see ALL limit and STOP-LOSS orders placed for the day, in advance of even being near the attendant bid/ask price on their screens. They can push the numbers right on down and ace you out of your shares anytime. Then right back up and close higher for the day. Nuff said. Rich Evening Rico (SOATL) and other DGIV-imsomniacs, I wish I'd had your and Byron's advice (about not placing stop loss orders) a few months back. I had an investment in another very promising technology company that was blatantly stolen by the MMs--and this was a Nasdaq listed company (it doesn't only happen in the BB world)! I thought I would try placing a stop loss because the security had seen significant gains but also could take some wild swings and then hold steady for weeks. I believed I was being conservative by placing the stop loss 2 points below the current trading range. The very next day the trading was slow and narrow but, inexplicably, at a single point in the day, the price dropped down to my stop loss position, consumed my shares, and then immediately returned to the price and range it had been at all day--and that's where it closed. I called schwab to complain and see if there was anything that could be done. But of course, since they didn't make a market in the security, it was out of their hands. Since then I've seen daily charts of other companies that have the same mysterious spikes. It's the last time I'll ever place a stop loss. Expensive lesson learned. I mention it here to reinforce your/Byron's warning.