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Gold/Mining/Energy : Barrick Gold (ABX) -- Ignore unavailable to you. Want to Upgrade?


To: accountclosed who wrote (890)12/20/1998 10:42:00 PM
From: ahhaha  Respond to of 3558
 
The b/a has no consequence. This is an invisible, market internal function. It has no consequence. As you know it can be all over the place without one share traded even in large turnover stocks. A demand/supply model must be independent of what can't be measured or evaluated. Only what occurs tells you something. Everything else is a lie.

At Vegas the spread is stable. Trying to gamble on the spread change has a negative expected return, but it isn't as poor of a strategy as the bet itself. This is similar to shorting options when first struck. I used to caution my market makers not to do this net naked, but they would rarely listen. It's got to seem like a lock to suck you in and keep you there.