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To: xbrent who wrote (1048)7/29/1998 9:46:00 AM
From: Mr. Jens Tingleff  Respond to of 7609
 
Re: What bothers me the most is someone buys @ .20 and immediately after they lower the ask to .19 without any sells.

I think if there are no further orders there at either market or at limit 0.20 - but a lot of purchase orders at 0.19 - then they will have to won't they. ?

The jumps in bid/ask can come due to one MM getting inventory at the same time as another is on his way running dry.

BID ASK shown 0.10 x 0.20
MM-A 0.10 x 0.21 he buys 100 and sets new 0.11 x 0.19
MM-B 0.10 x 0.20 he sells 100 and sets new 0.13 x 0.22
Now after these 2 regulations from the MM's the bid ask shown is
0.13 x 0.19

Kr
Jens