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Non-Tech : MB TRADING -- Ignore unavailable to you. Want to Upgrade?

To: wily who wrote (1503)	10/20/1998 7:12:00 PM
From: Eric P	Read Replies (1) \| Respond to of 7382

I used to be suspicious of MM's "backing away" from preferenced SNET orders, but I really don't think it happens that much. In case you didn't know, they ARE required to fill any preferenced order they recieve, up to the size of their quote while their quote is still live--but only the first order, not multiple orders. I don't have any objections to the market makers only filling one order at their stated price. I DO have a major problem with market makers being able to fill one order, then wait 17 seconds before backing away. As an alternative, I would suggest the Nasdaq computer system should remove their quote, then give them 17 seconds to repost a valid quote that they are willing to stand behind. If this leads to wider spreads in fast moving markets, then great. At least then ECN's will be able to pick up the slack and ensure an orderly market in which all of the posted prices are REAL! Sorry for venting... This is an annoying problem, and one that is quite to the advantage of the market maker and to the disadvantage to the rest of us. -Eric

To: wily who wrote (1503)	10/21/1998 12:48:00 AM
From: LiveWire	Respond to of 7382

Thanks for that info, Wiley. That gives me a little more detail than I have before. Still learning... Steven

To: wily who wrote (1503)	10/21/1998 5:45:00 PM
From: Michael Turner	Read Replies (1) \| Respond to of 7382

Try this: In a very fast market, try SNET broadcasting a sixteenth or an eighth outside of the inside quote. For example, if the market for stock X is 34 1/8 bid for 2000, 2400 offered at 34 1/4, and you want to liquidate your 1000 shares of X...which is ripping against you to the downside...broadcast SNET offer at perhaps 34 3/16. By doing so, you effectively step around the herd of traders trying to get out at the bid. Sure, you are voluntarily giving up 1/16 of a point...however, you would likely give up even more if you tried to pinch pennies and get out at the current bid like everyone else. Have fun, Michael Turner Author DayTrading into the Millennium tradersresource.com