Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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 : BANY: Core business growth, exciting affiliations! -- Ignore unavailable to you. Want to Upgrade?

To: brad greene who wrote (2156)	6/20/1998 8:50:00 AM
From: dealmakr	Read Replies (1) \| Respond to of 5847

Brad, The reason that .28 is an important place is that this stock has bounced up and down between .18-.28 for most of the last 6 months. If .28 is taken out and holds, it will become new support in a new trading range. What that range may be I don't know, but the upside can look at the old 52 week highs. If the move out is accompanied by good fundamentals from the company it becomes that much stronger. There has been some good buying in the last 2 weeks and it appears to me that the stock is going into stronger hands. This stock has to be able to survive some selling that can occur when .28 is reached without the MM's going into a panic wondering if it is going back to .18. A strong sign is when the bid keeps on upticking until the spread narrows. This shows buying interest. The MM's are there to make a market in the stock and provide liquidity in the buying and selling. It is up to the investors to show the stregnth in the stock by what they are willing to pay. If I was looking to buy with this spread of .22-.27, I would put in a bid of .24&.25. Either the MM's would have to short it to me by lowering the ask price or my bid would now become support and the bid price might rise. A .05 spread is just too much IMO. It makes for a target for abuse. If I wanted to buy a sizable block I might have to pay up at the ask to be assured of gaining entry. It just doesn't sit well with me as a trader to pay 20% over the bid. Usually you can let them come to you sooner or later and save some dough. That savings can be applied to additional purchases. Its a great game, you just try a little harder to play by their rules. The only edge that you have over them is your DD on the fundamental value of the company. Most of the time sooner or later fundamentals and valuations tend to agree. Thats in any stock. Even though the wait can be a long one. Looking forward to the company to increase their fundamental value. As an investor these are my own opinions and buying stratagies in how I purchase not any valuation on the company. If the fundamentals were lining up solidly my purchase prices would be adjusted accordingly. Have paid much higher prices in the past and there are bigger things happening now. Good weekend to all Dave