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Microcap & Penny Stocks : IKAR Mining Tungsten iron ore gold silver copper cobalt -- Ignore unavailable to you. Want to Upgrade?

To: Blayton who wrote (268)	9/22/1998 3:01:00 PM
From: Madeleine Harrison	Read Replies (1) \| Respond to of 631

Is it safe to assume that when the price is between the figures of the bid and the ask that it is a trade between MMs? No, because the b/a might be 20/23 and you place an order to buy at .22 and get filled. The clue to this being a cross trade (also called mirror or shadow trade) is that the two big trades occur near each other on the log and the prices are quite close. One MM sold it to another for a tiny mark up. The question is..what did the buying MM want with it? There are so many reasons why trades like this occur, but it's more common to see cross trading in a low float stock because the stock is scarce and the MMs don't usually keep a big inventory. So if a bidding MM wants stock to sell to a customer, he might have to get it from another MM for a slight mark up. A lot of the trades you see on the logs Alan is posting are cross trades. Watch for trades that are the same amount (or add up..like two 5000 and a 10,000 and occur within the same 5 minute span. With the smaller trades, you can't see the price difference in the cross because it is too small to register on the software. Sometime's MMs do cross trades in a lump to satisfy several transactions at once. So the big amount of the trade can be misleading..other times, the big amount of the cross is a signal something is about to happen and the MMs know it. -Madly