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Re: None

Monday, 08/24/2009 12:47:03 PM

Monday, August 24, 2009 12:47:03 PM

Post# of 36407
I actually for once agree with puckhead.

I think the whole buy at the ask and never sell at the bid talk is highly overrated. When you have the bid at .0036 and the ask at .0037 somebody selling at the bid can only make a .0001 change. That is it. MMs can certainly do some weird things to manipulate, but that is out of our control.

It is almost inarguable. Lets say there is a bidder at .0036 and a seller at .0037 and there is a standoff. So the seller decides to sell at .0036. Price moves to .0036 and then what?

Well if there are no more bidders at .0036 and two more at .0035 the bid will drop. If the bidder at .0036 moved up and bought at .0037 the bid would still drop to .0035 after that sale and you are right where you were.

Without more bidders(buyers) it really doesnt matter.

Bid whackers arent people that want to bring the price down. They are people that want to lock in their gains or seal off their losses immediately and dont want to risk sitting there with their order at the ask.

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