Js06w, et all,From what I have experienced in the past, those...

Js06w, et all,

From what I have experienced in the past, those sales bid at a higher price are very safe. One cannot reach them (unless the big end of town can do it that is, and that I really don't know), if the buy bid is greater than 5% above the current bid. SO I WAS TOLD.

Not so long ago from memory, I wanted to buy a parcel of shares in a tightly held Company which were on offer from 70 cents and upwards.

I wanted to buy 50k of them. So, after adding up what was on offer at the time to reach the amount of shares I wanted to buy, I realised that I would have had to put a bid up to 74.5 to 75 cents.

I DID, AND THE ORDER GOT KNOCKED BACK. I TRIED AGAIN AND AGAIN, AND IT STILL GOT KNOCKED BACK TIME AND TIME AGAIN.

I then rang my online provider wondering what was goin on when the money was there in the account and that I had done everything right, and was told that the order was klnocked back, simply because one cannot spike/increase the price for more than 3% or 4% at anyone time. Maybe up to 5%.
Reason being, that it could be considered to be an insider trade.

As my buy order would have spiked the sp for more than the maximum requirement, it was then knocked back.

What I had to do was:

1) Buy one lot up to 72 cents, and then

2) Buy another lot to fulfill my order some minutes later.

A lot of baloney IMO. But that is what I was told.

Whether that also applies to the big end of town, no one really knows.

The moral of the story is that, IMHO, if what I was told is correct, those sales bid that are put there at the higher figures are very safe, and they have been put there for a purpose. TO PUT A CAP ON THE PRICE!!!!

My thoughts and please DYOR.

Buddy