Replies to post #32570 on Expo Holdings Inc. (EXPH)

[wallymac]

The fallacy in your thinking is that An MM like Nite only has one ASK or BID. The fact is that they only show the BEST ASK or BID. They have many other customers with differing quantities and offers. If their best ask was .013 and got filled then the next person in line moves up. .0129 or .0128. The same with every MM.

Not every ASK or BID is shown on L2's only the Best for each MM.

Have MM's manipulated stocks in the past? Of course, and they paid the minimal fines when caught BUT think about it. With 11M traded if they made .0005 on every trade, which is high, that's $5,500. Not really worth the time and effort. They would much rather see a stock move quickly with much more volume either up or down in order to cash in.

IMO, the trading is much more Joe Retail, either attempting to move the stock up to cash in or down to get a better entry.

[P K G]

I see your point.

My point is that the MM wants volume. If it is trading at $.013, he is happy. If trading dries up he will move the pps. Up or down attempting to get trading going again. Usuially, he will have to move it down to intice buyers, however moving it up may do the same thing. Bring in buyers that don't want to be left behind.

I just don't attribute all this stuff to MM's. They want and make their bread from volume. They don't want to own a share. They have to buy to "maintain an orderly market'. They may have to short to do the same thing. By the close, generally, they want to be even. No short, no long. Also, they are just like you and I and not all that smart to do all the things, manipulate, etc. that they are credited with. They lose and they win. That's why they just want to trade and make their commissions. They don't want risk if they can avoid it. They make plenty without it. Could lose with it.