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Strategies & Market Trends : From the Trading Desk -- Ignore unavailable to you. Want to Upgrade?

To: steve goldman who wrote (3457)	8/2/1998 5:00:00 PM
From: Chris	Respond to of 4969

excellent post steve.. keep up the good work.

To: steve goldman who wrote (3457)	8/3/1998 2:37:00 AM
From: rob jones	Respond to of 4969

Steve, I wonder if you could comment on afterhours trading and things like painting the tape. Do things like that happen often to try and fool investors ? What I mean is suppose a stock closes at $10 and I arrange an instinet trade for 10,000 shares to a buddy at $10.50 and then he could sell 10,000 back to me at $11.00 which would give the impression of false demand. Of course that could occur anytime I suppose but I saw an afterhours print at a higher price and was wondering how often the above kind of thing occurs and whats to stop it from occuring. It would seem to me 2 parties could work together to manipulate prices in that manner. Another question if you could....are Island, instinet & selectnet trades anonymous ? That is if you hit bids or take out offers from the above will you know the contra-party ? Friday there was an IPO....COOL that went public at $18. The stock didnt open untill late in the day. Meanwhile a company that owned a good chunk of COOL ...WCAP traded very heavily in anticipation of it opening much higher. Would it have been illegal for the lead underwriter to short WCAP while having access to buy/sell orders for COOL while COOL was not yet opened ? Would it be legal for WCAP insiders to sell WCAP stock during the days & weeks leading up to as well as the day of the COOL ipo ? WCAP was a venture capital firm. Some have suggested that they should have halted WCAP pending COOL's open. The stock traded like 14 million shares friday despite only 5 million outstanding. I see a lot of potential for impropriaties. What do you think ? I cant see why they would delay opening up COOL for so long other than to clean up by shorting WCAP which fell QUICKLY from $12 to $6 as soon as COOL started trading. Thanks for your time and I love your thread. PS.....I didnt get burned or anything just wondering whats legal & ethical & how often rules get violated.

To: steve goldman who wrote (3457)	8/4/1998 1:15:00 AM
From: Ken Brown	Read Replies (1) \| Respond to of 4969

Steve, On Friday, SIEB announced that: "... it has commenced a rights offering to its shareholders of record as of July 29, 1998. Under the terms of the offering, which is by prospectus only, shareholders will receive the right to purchase one share of Siebert Financial Corp. common stock at $7.50 for each share that they own as of the record date. The rights will become tradable on August 3, 1998 on the Nasdaq Small Cap market and will expire on August 31, 1998." As someone who was short SIEB on the record date (I covered today), I have some questions: 1). Do I have any liability regarding these rights? If so, what? My broker said "no", but I don't fully believe that. 2). If so, had I covered prior to the rights being tradable, would that have made a difference? 3). If I sell short again during this time period (but - obviously - after the record date), do I have any liability regarding these rights? (I assume not, but I'd like to know for certain.) Thank you very much for any help you can provide, Ken