InvestorsHub Logo
Followers 167
Posts 6444
Boards Moderated 4
Alias Born 02/21/2008

Re: dneighnay post# 724

Tuesday, 10/20/2009 1:50:13 PM

Tuesday, October 20, 2009 1:50:13 PM

Post# of 52074
And don't trust anything you see afterhours either. AH bid/ask quotes are often at absurd levels. Why I don't know, that's just how it is. I remember when I was a brand new trader seeing 3 bucks on the ask side afterhours on a stock I'd bought a million shares of in the triple zeros. Damn near almost had a coronary before realizing the afterhours bid/ask quotes were inaccurate.

If I had to guess I'd say it's because most MMs quote their bid/ask prices each day as opposed to keeping them up overnight. But there is usually always one MM who has his quotes posted permanently at opposite extremes. For example, in May VNDM set a bid quote at .0001 and an ask quote at .51. He keeps those quotes permanently, so if all other MMs remove their quotes afterhours, these are the bid/ask values that would appear on your screen. I guess he does that just to ensure he's first in line to either buy more at .0001 or sell at .51 should either of those prices ever come along.

Join InvestorsHub

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.