Thanks Jack.

That could create the "whoosh" I'm looking for - but I'm limit order buy, not stop loss
sell.

Thanks, Jack, Is that the same thing when big traders try to run stops to loosen
up shares at a lower price?

Its an attempt to game the program trades, order imbalances or just market over reactions
Gintice. A sell program or buy program can hit the market affecting the prices of dozens
of stocks for instance. Some of those stocks very quickly drop or rise in price but it
usually only lasts for a few minutes at best before it snaps back. Unless you are watching
the market with a trigger finger by the time you place an order, that price is gone. Lets
say you have a stock you'd like to buy, MSFT for example, but you think its too expensive
at 30.50. You want to pay $28. Place a limit order either day only or good to cancel
depending on your capital, trading frequency and risk tolerance to buy shares at $28 ( I
would actually go just above a round number - $28.03). If the "blip" occurs - you just got
a great buy on your stock. Just make sure its a stock you really want at a price you think
is a steal -- if the snapback does not occur or the stock goes lower, you are now a
holder.

Myself, I use only day limit orders and set up the ones I want to try each day. It doesn't
happen often, but every once in awhile you can grab a great deal.

How does that blip work Jack?

A lot of good merchandise(stocks) are also available at this giant big box store and they
go on sale also but everybody seems to wait for the price to rise before they buy! Any
wonder why "joe-public" loses most of the time?

Or Wallstreet as an enormous used car lot - and only a handful of the cars have CarFax
reports. "Slight water damage" ---> "New Upholstery!!!"

Last edited on: 05-30-2007 09:57 pm

only problem with a mall is that they sell some quality stuff and some junk stuff...just
make sure your not buying other peoples junk.

Have even more fun and put a bid in way below market price on a stock you want. If you get
lucky a program will come in, blip your stock down and your bid gets hit just before the
stock resumes on its way. :)

It hit me a few years ago that when stocks decline in price, one should think of it as a
sale but Wall Street is the only giant mall that when there is a sale NOBODY comes when
just the opposite should happen! I started fighting my "joe public" psycholgy of sell
panicing and bought when my stocks declined and I felt like Warren Buffett!!. I made more
money and I paid less taxes. A win-win.