To: Secret_Agent_Man who wrote (2662 ) 5/25/1998 1:29:00 PM From: Patrick Lauder Respond to of 11850
I understand some of the things you are saying and it was scary sitting on 200,000 shares and watching the price drop. I had to stop looking at the screen after 12 noon so I didn't have to experience the further dip, but I lived through it in the posts where I got a blow by blow description. But I don't understand if the MM's DON'T have to fill an order, then they can march down the bid\ask at the end of the day! What's to stop them. They have certain rules they must live by but they don't respect those rules and no one prosecutes them for not following the rules. I don't see a solution the the MM's except get rid of the system and trade like other exchanges! I sometime wonder how a stock ever rises unless a MM wants it to rise for his own benefit. The rules of supply/demand don't seem to apply here withe the MMs. In other words if more people want to buy the stock than want to sell the stock, the price will go up, and vice versa. As witnessed Friday the stock tumbled and the demand was higher than the supply. What I am hearing from you is: increase even more the demand and we will win against the MMs. I don't see how we can, if they don't work by the rule of supply/demand. Again I am very long on the stock, I just want to understand our strategy in detail, so I can feel confident it will work. I can get maybe another 100,000 shares into this (some friends I know). Perhaps if we got a second tally going of a commitment by every one who can, how much more of the float we can each buy. Excuse my hard head, but even if we owned 99.99% of the float, how would that force the MM's to keep the price up. Are there any honest MMs out there? I would appreciate your comments TIA (Thanks in advance) Pat