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Re: CashFXGroupPowerTeam post# 2979

Wednesday, 01/16/2008 12:09:19 PM

Wednesday, January 16, 2008 12:09:19 PM

Post# of 349934
MMs don't make their money by buying and selling shares that reflect corporate performance and guidance. They don't know the first thing about the companies they trade. They make money by buying and selling (to eachother) between the spreads of miniscule prices. Retailers have no access to profit between the bid and ask spreads as the pps gets lower and lower. The MMs strategy is to keep the price as low as it will go in order to maintain exclusive control over the bid/ask spread.