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Biotech / Medical : IMAT - ultrafast tomography for coronary artery disease -- Ignore unavailable to you. Want to Upgrade?

To: Harry Ellis who wrote (2855)	1/8/1999 10:53:00 AM
From: John R Resseger	Respond to of 3725

I think not Profit taking This stock ran up on the NBC News Story The other stories haven't got out yet. The stock will move up on its own or Ge will buy them from $3 to $10 Shorts will short it down to try and cover.

To: Harry Ellis who wrote (2855)	1/8/1999 10:58:00 AM
From: Bruce Rozenblit	Read Replies (1) \| Respond to of 3725

It's the market makers. The Nasdaq small cap market is rigged. The market makers set the bid and ask, they set the prices. They also trade long and short. So they have the advantage to set the prices on stocks they are trading. The theory is that competition between market makers will result in a fair "market price" at any given time. This might be true if there are 50 or 100 dealers trading in a stock and tons of liquidity. BUT! small stocks like Imatron are handled by only a few dealers (like 6 to 12) and some have even fewer dealers. With only a few dealers, the "competition theory"breaks down and can be replaced by collusion. They can easily conspire to set prices. After the run up yesterday, the dealers started heavily shorting and then dropped their bids so they can push the price down and make a quick kill. It's a racket. I hate the Nasdaq. We are their pawns. The public is generally ignorant of this and the brokerage industry spends hundreds of millions in marketing to convince the public of how wonderful the Nasdaq is because they make billions off of us. The Security and Exchange Act that protects us was passed in 1934. The world is a different place now.