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tech9018

06/29/10 5:58 PM

#140005 RE: Toxic Avenger #140001

Mr. Kezzek... Could you please answer this question I posted earlier for you?

Posted by: tech9018 Date: Tuesday, June 29, 2010 4:34:00 PM
In reply to: kezzek who wrote msg# 139960 Post # of 140004
Hi kezzek... Question... Do you believe the MM's are creating a fair market as it pertains to CDIV?
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Ninja7

06/29/10 6:06 PM

#140008 RE: Toxic Avenger #140001

Yes, inventory does imply not short...maybe a poor word choice on my part...my point was that MM's do take positions in pinkie-land (both short and long positions). They also make money on the spread.

The problem with your volume comment is the following (assuming for the moment that the MM's are short and we own all the shares): volume will follow price and they need "sell" volume--not "buy" volume. If they move the price up to a level at which the team starts selling, they will get the volume, cover their shorts, and can make a boatload taking it back down after we all exit and the unfortunate but real bag-holders take over.

They could indeed try taking it lower to generate sell volume. That have had some success around the .71 area with this approach, but it no longer seems to be working and seems, in fact, to work less and less as they go lower.

You're right. Time will tell. If you believe in the FLD concept (which is simply about a favorable share structure and MM/market behavior--not fundamentals), you should indeed buy as patience will be greatly rewarded. If not, you shouldn't. GLTY