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To: slotman who wrote (12758)	8/27/1998 4:56:00 PM
From: goldcoin	Read Replies (1) \| Respond to of 43774

I was told that it was three working days before the end of the month, which would be today. However, I have also heard that some MM's have an exception to go to the last day of the month. How's that for a wishy washy answer to your question.

To: slotman who wrote (12758)	8/27/1998 6:49:00 PM
From: Jim B	Read Replies (2) \| Respond to of 43774

maybe this will help.. I didn't write it though... taken from a write of some other newsletter or investment source ------ The Famous "Month End Maneuver" We receive dozens of emails from our readers asking the question: "Why do my OTC stocks all seem to get killed at the end of each month, and quite often rally the first couple of weeks of the following month?" Rather than individually responding to them, and to help better educate the public we want to explain what typically goes on at brokerage firms at the end of each month, and why. First of all definitions: MONTH END. Typically the day (either settlement day or trading day depending on their system of accounting) that a BD (Broker Dealer - registered as such with the NASD) calculates their paper gains and losses for the purpose of calculating that firms NET CAPITAL (disclosed financial position) for FOCUS REPORTS (financial reports filed with the SEC). For example: ABC is short 100,000 shares of XYZ corp - a small, OTC stock trading at $1.875 bid, $2.125 offer. Their month end is "settlement day" - meaning trade day plus three (like when you or I have to pay for the stock we buy) and the date is June 24, 1997 - (making settlement the last day of the month). In order to enhance their balance sheets (which allows them to sell or buy more stock against their net capital) they decide to start hitting (selling) the stock. Here's the way it looks: They enter an order to sell 10,000 shares at the market. The bid was only good for 2000 shares (not surprising since size buying or selling always shrinks the offer or bid size) so the current market then becomes: $1.75 - $2.125 ... until they offer stock at $1.875 - making it $1.75 - $1.875... but not for long.. They enter an order to sell 8000 shares at $1.75 - which was good for 5000 shares this time. Now the market is: $1.625 - $1.875 .. until they offer down to $1.6875.. and it continues: They see on level two (a trading system that shows the depth of an OTC market) that there is two bids at $1.625, but the next level is $1.3125. Ahha! A good target price. They sell another 5000 shares at $1.625 - each market maker buys 2500 shares and bid down - making the current price $1.3125 - $1.6875... but low and behold: They offer stock at $1.375 - making the price $1.3125 - $1.375.. The company is now short a total of 112,000 shares.. and in one day shows a paper profit of $84,000 - which applies to their month end balance sheets! Do this on a couple of stocks each month and a small BD can end up with several hundred thousand dollars in additional buying power. The only problem is that it is that you and I are the ones who get creamed. I know of one savvy investor who buys the hell out of his small stocks at the end of each month - and is usually able to sell them at a profit the first few days of the month when the same market maker stops LEANING ON (doing the above outlined shenanigans) the stock. So at the end of each trading month, don't panic and assume something is wrong with your small stocks! You are probably witnessing the "MONTH END MANEUVER" !! ----------- hope this helps... considering it was from one of those guys(me) that runs a "rag of a newsletter" you referred to a few posts back. But maybe you weren't referring to mine.. maybe you were.. to each his own. jim