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Technology Stocks : NEON Systems, Inc. (NESY) -- Ignore unavailable to you. Want to Upgrade?

To: Ed Richmond who wrote (19)	3/11/1999 10:19:00 PM
From: mitchell finegold	Respond to of 91

as an x market maker in the 60s in a few bank stks-and syndicate mgr for so fl brokerage firm , let me explain briefly here--Where did 10 million shares come from to trade the first few days? Why did stk go up fast?--ans. the MMs had to short stock to make trades-They del in x amount of days <use to have up to 30 days in the 60s but thats been cut back to ? weeks. They take the stock up as high as buyers will pay each day and then drop it to cover their shorts when buying dries up. If a fund or large group starts buying they take it up fast again.-they repeat this till their cost ave on stk keeps going down ,and to where they can maitain an active market. the only way they can make $$$$ is on the spead when buyers and sellers match up---just like the bookies.--I see you have listed a finance type background-Go back and learn the function and workings of the otc MMs. They can short all the stock they want-no upticks--short means selling shares when there are no sellers to supply the demaned-not like nyse--whose specialist sometime preform the same function to provide liquidity and flow to the market.--