MM's short orders question

Discussion in 'Trading' started by MogulB, Jun 14, 2007.

  1. MogulB


    Question for you or anyone who knows this rule.

    Do the current rules for NASDAQ stocks permit a market maker to show a bid in L2 below market and the bid is really a short sale order?

    Other participants can not do this but can MM's?

    The rest of us have to enter a ss order and it shows up on the ask. Can MM's show there SS orders on the bid in disguise?

    Greatly appreciate your insight.