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To: Alan Hume who wrote (12724)1/9/1999 2:27:00 PM
From: MulhollandDrive  Read Replies (1) | Respond to of 93625
 
>>I takes 2 parties to make a trade. If you have a 1001 parties, 5001 sellers and 500 buyers, the price goes up, and visa-versa.<<

Alan, that may be true, but for example you could have 1001 parties and 300 line up in the a.m. to "buy" and 701 step up to sell in the afternoon. Of course it's true for every buyer there is a seller, but not all buyers or sellers are taking positions in the stock, the MM's have to deal with order imbalances all the time and from what I understand will take or sell shares to maintain equilibrium. Isn't that incorrect?

bp