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Re: ThePennyGuru post# 270867

Thursday, 07/24/2014 11:33:39 AM

Thursday, July 24, 2014 11:33:39 AM

Post# of 312015
No it is not BS it is the Rules on how this Market operates, orders that do not meet the minimum size required at this price range will not be displayed.

6433. Minimum Quotation Size Requirements For OTC Equity Securities

Every member entering quotations in any inter-dealer quotation system that permits quotation updates on a real-time basis must enter and honor those quotations for at least the minimum size defined in the table below. In this regard, it is the member's responsibility to determine the minimum size requirement applicable to its quotation. Depending on the price level of the quotation, a different minimum size can apply to each side of the market being quoted by the member in a given security.



So any order less than 10,000 shares will in fact not be displayed and not have any impact on the size unless of course the same Broker/Broker dealer has multiple orders that combined would equal to the minimum size or greater. Multiple brokers/broker dealers however will not be displayed, however it doesnt stop a single broker dealer from making a market by selling shares to fill multiple orders in one sale.

Of course then there is the other example I gave, simply put, if there are multiple order from the same broker/broker dealer and one of those orders is a request to not display then there will be no change in the size. Do you have anything that can refute FINRA rule 6433 listed above? How about anything to refute FINRA rule 6460 para (b)(2)?

6460. Display of Customer Limit Orders

(a) Each OTC Market Maker displaying a priced quotation in any OTC Equity Security in an inter-dealer quotation system shall publish immediately a bid or offer that reflects:
(1) The price and the full size of each customer limit order held by the OTC Market Maker that is at a price that would improve the bid or offer of such OTC Market Maker in such security; and
(2) The full size of each customer limit order held by the OTC Market Maker that:
(A) Is priced equal to the bid or offer of such OTC Market Maker for such security;
(B) Is priced equal to the best bid or best offer of the inter-dealer quotation system in which the OTC Market Maker is quoting; and
(C) Represents more than a de minimis change in relation to the size associated with the OTC Market Maker's bid or offer.

(b) The requirements in paragraph (a) of this Rule shall not apply to any customer limit order:
(1) That is executed upon receipt of the order.
(2) That is placed by a customer who expressly requests, either at the time that the order is placed or prior thereto pursuant to an individually negotiated agreement with respect to such customer's orders, that the order not be displayed.
(3) That is an odd-lot order.
(4) That is a block size order, unless a customer placing such order requests that the order be displayed.
(5) That is delivered immediately upon receipt to a national securities exchange or an electronic communications network that widely disseminates such order and that complies with paragraph (c) below with respect to that order.
(6) That is delivered immediately upon receipt to another OTC Market Maker that complies with the requirements of this Rule with respect to that order.
(7) That is an all-or-none order.
(8) That is priced less than $0.0001 per share.