SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Microcap & Penny Stocks : AMGV - David and Goliath of the box makers? -- Ignore unavailable to you. Want to Upgrade?


To: Blayton who wrote (187)6/9/1998 10:10:00 PM
From: Cosmo Daisey  Read Replies (2) | Respond to of 509
 
Blayton,
"""Would not the MM raise the bid if they are out of inventory - thereby narrowing the spread?"""
The MM doesn't need to raise the bid, they sell short at the ask higher and higher to average up. When the buying slows they jump
the price even higher to bring in some selling and quickly pull the price back and cover their shorts.
"""And when you say that they will raise the price when the buyers make their move, are you talking about the bid price or the ask price?""" The ask.
Nothing illegal about this, its just the way the market works with the MM providing liquidity.
Coz