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Microcap & Penny Stocks : Pacel (PLRP): If NASA likes them, shouldn't we? -- Ignore unavailable to you. Want to Upgrade?

To: VBroady who wrote (2195)	12/31/1998 2:56:00 AM
From: Baldur Fjvlnisson	Read Replies (1) \| Respond to of 3171

I'm not that familiar with the machinations of the Market Makers. But obviously they're interested in volume. If there's great volume that should create competition between them for business with the brokers and the spread should narrow. When the volume dries up the opposite should happen. And they're interested in the same things as the investors/speculators, profits, averages, being short or long. One thing that often seems to confuse penny stock investors is that the MM's sometimes appear to be selling stock they didn't buy at the market but rather are converting for the issuing company and/or a holder of a convertible debt instrument. Ever notice how with even huge buying pressure a stock hardly budges? Usually that's blamed on shorts and/or MM mischief but I think in most cases it's just oversupply of available stock. Hardly makes for a healthy market. In a pump and dump operation where the only thing being pumped is buying interest, not the price, who is the PUMPER and for whom is he working? At this time the MM's probably hold quite an inventory of Pacel stock they paid 5 cents or more for. So they're reluctant to sell for less than 5 cents and also they're trying to bring their average down by shaking out some shares at the low bid. It can't be that hard making money as a Market Maker, it's even simpler than banking. These is just speculations of course so take it for what it's worth. In my opinion the bulletin board market is being manipulated in a big way and seems to be rather loosely regulated and overseen. It's probably just regarded as a petty footnote to the stock market by the SEC. It's a pity to see companies with promising technology being destroyed by manipulation of their stock. Many happy returns, Baldur F.