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Microcap & Penny Stocks : DGIV-A-HOLICS...FAMILY CHIT CHAT ONLY!! -- Ignore unavailable to you. Want to Upgrade?


To: risk-averse who wrote (17664)7/10/1998 9:29:00 AM
From: MARK BARGER  Read Replies (1) | Respond to of 50264
 
Yes, I have read that MM's don't have to cover their short position per se when/if we go to the NASDAQ. If they remain an MM maybe they don't have to cover, but if they are no longer an MM for DGIV, sooner or later they have to balance their books. Now DGIV's MM's have a great business. It's like they're selling apples, they're selling a ton of apples, with all this money coming in and they never run out of apples to sell, they never stock their stock with new apples, they have all this money coming in and never pay any out. I wish I had that kind of business. My point is sooner or later they have to balance their books. I don't know how often they have to do this, maybe someone could shed some light. But, there are only so many shares out there in the float. At this rate, when do they run out of shares to borrow? I have never seen a situation like this. I'm betting that if we see the signs of explosive growth we are all looking for in the months to come, we will also see some MM panic as they finally have to come up with some shares to satisfy the buying demand.

Wonder what today will bring?

Mark



To: risk-averse who wrote (17664)7/10/1998 10:03:00 AM
From: HRAKA  Read Replies (2) | Respond to of 50264
 
Risk,
I believe in order for mm's to leave the market they must balance their inventory. If NAS occurs, the new mm's will exploit this situation.
Hraka



To: risk-averse who wrote (17664)7/10/1998 10:49:00 AM
From: macker  Read Replies (1) | Respond to of 50264
 
with a tight trading range that it is in, they know that they can still make money, volume = money, no volume = no money. they will keep the price down to promote buying and selling. they know they wont make as much money on a big spread but no volume. you are right too, they dont have to cover. they have made their big money on dgiv, they are just playing around now. until another big volume day comes in with heavy buying, you wont see this stock rise a lot higher, but i have a gut feeling that day is coming soon.

macker