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There was also a "Flash Crash in the ^RIFIN today as the "days range showed 778 to 439. This is getting a bit out of hand.
ANYONE got a Chart?
The markets are going VERY UNSATBLE!
The SEC wants market participants in there daily providing liquidity to prevent these kinds of crashes, but there is no point to that.
When the exchanges have no set rules and randomly break trades why would I risk my money providing liquidity. Exchanges are discouraging liquidity providers. They only get to keep the bad fills. Im not doing that.
Bring your algo into the market that fires orders out like a gattling gun and if you screw up we'll bail you out. What a sweet deal.
Look at this one from a few days ago where they busted the trades as close as 3.5%
10:42 AM 09/15/2010 Market Operations Update CEE Review Initiated for NWI PRC The NYSE has determined to cancel all trades in NUVEEN MARYLAND DIVIDEND ADVANTAGE MUNICIPAL FUND 3 (NWI PRC), executed at or above $10.65 between 09:48:05 am and 09:50:52 am ET today.
This decision is not appealable.
This thing was trading at $10.25 a share and they bust everything over $10.65 and it does hardly any volume. Are you kidding?
Here is one where the trades actually stood, but they still reviewed it and considered busting them. This god damn thing is a < $1.00 a share pharma stock and they reviewed trades and considered busting them up 50%....its the most volatile type of stock i know of, how can they consider busting these.
The NYSE / NYSE Amex has reviewed executions in CHINA SHENGHUO PHARMACEUTICAL HOLDINGS, (KUN) between 12:04:38 and 12:08:09 ET today.
These executions will stand. This decision is not subject to appeal.
I bought RMBS the most recent time it plummitted intraday (yes its happened more than once). I stepped in and caught a falling knife in a stock that was tanking hard and then it recovered miraculously within a few minutes. I sold my shares and then they busted the buy so now im illegally short and losing a buck on my illegal short cause the stock rallied more from where i sold it. I was risking my own capital to stop an out of control algo and i get punished.
Obama we need some of that special change you sold us on over here in our markets.
The SEC wants market participants in there daily providing liquidity
Hey now, come on. Someone didnt get the message - HFT's just provide needed liquidity.
You don't trade the RIFIN so your point is moot.
Not so sure there will be a chance to make money on it, as software engineers at HFT firms everywhere are writing it into code tonite. Any bet that "flash crash" stocks drop 15% in a nanosecond only to stop, and move back in a flash.
Just to let you know, they have bigger computers than you..
Alien crash, now that would be something!
That 15% cut-off is superfluous since the trading is halted at a 10% loss...ooops.
Except when it isn't, like in this case. Stuxnet4eva!
gangsta government, meet, we the people
35,000 views in one week:
That's pretty sweet. First Keynes vs Hayek, now this.
awesome video thanks! :)
Thank you for that.
OK, that's it. I'm taking whatever hit I have to on my 401k and getting out. This insanity will not end well.
Plus, once the Fed announces QE2 the 6-month clock is ticking on Tyler's financial pockly-clipse. I'm outta here...
The best part remains that everyone in my small town still "thinks" that the economy is recovering because the the DOW is up. HFT + PPT + a little hydrocodone = Economic Recovery 2010.
That's been my concern all along. 15% is a bullshit, picked-out-of-the-air number. Skynet will quickly figure this out and soon we'll see deliberate HFT crashes to pocket that 15%...if we are not already.
soon we'll see deliberate HFT crashes to pocket that 15%
correction: 14.999999999999999999999999999 %
It's even more fucking devious than I thought. Those bastards!!
I guarantee that if they made the trades stand couple of times you wouldn't see this nonsense going forward.
I agree on that.
DK + deemed cancekled?
A 2-minute GOOGLE search finds no use of DK wit this meaning.
Are you an insider who does not want others to understand?
A "0.11 second" Google search, producing 15,800,000 results, netted this as the top result:
I'd be pissed if my BUY were filled at $4, $5, $6 and cancelled ! However, If anyone carbon based has a stop loss set NINTEY PERCENT BELOW market, please, please, sue your broker and then get out of the market entirely.
What if you are short (and still alive) and like to put in ridiculously low GTC orders?
They need to cut the shit and fix this. Nobody wants to trade or hold in a marketplace that is falling apart.
How will they prevent a big flash crash with hundreds or thousands doing this at the same time?
Oh boy, now we're gonna have flash crashes every day. Next it will be one an hour, then one every five minutes, then all traded stocks will have continuous flash crash cycles with a period of 20 nanoseconds.
This is the definition of moral hazard. Awesome.
Maybe this is what they are hoping for. By setting a 15% cut off retail investors are encouraged to put orders in about 15% below market value, which gives the algos something to fight over and builds a bit of depth in the market, making the next flash crash a lot less noticeable. The market is still broken, but this could be trying to mask the problem.
How come we only see downcrashes, and never upcrashes where stocks go to infinity?
You have to have infinite money in your acct to make the trade
Give Ben time. He's printing as fast as he can.
I knew it.
Just put stink bids on a variety of stocks. Somewhere near 75%. Then when the HFT machines are crashing the stock to collect it cheap, you can ride the wave back up.
100% asset valuation by FIAT. The stock can never go down.
These crashes are probes.
Even Cramer(Crymore) has stink bids on stocks to collect on the crash and miracle recovery.
The SEC, which should be investigating this totally rigged system to recapitalize bank reserves by making up "money" on events like this, is mandated to ignore all this.
The banks have to recapitalize their reserves. The only way to make money is not LEND but to play the ponies, arbitrage, pick pocket and make up phoney values. This is just part of the scam.
Not a lawyer but isn't the NASDAQ allowed to decided of those cut off limits at it's sole discretion (as per it's own market regulations) ?
Hit the etrade baby's stocks and he'll crap a pantload.
@orange have you seen OPEN? :)
@godzila if you can prove negligence I don't think the Nasdaq 'rules' matter. Not a lawyer either...
Set at 14% below the NBBO, just to be on the safe side.
This is really scandalous. It's like having a mugger tell you I keep 15% after you catch him holding your wallet.
I can't understand how the regulatory people can be so short sighted.
I think these flash crashes may be a bit more then you think. It is possible that they are engineered much like currency intervention to test the resiliency of the market. If it is resilient enough Ben and Timmy can use this to offset the federal debt. He just needs collution with the TBTF's (seriously like that would be difficult) and I am quite sure a one time future tax on Banks and Corporations that are hmmm holding a great deal of cash for ...... what purpose?
Let the hedge funds eat each other alive there is no question at all in my mind that there is a plan here.
I am sitting here balancing my kids college funds with 1/3 QID and 2/3 dividend stocks. This has held up pretty well so far as everytime I but another dividend stock I also rebalance QID.
Since there are much more long only investors than ones ready to short, Benny and the boys should just short the living daylights out of the market, collect a cool few trillions and then ride the flash-crash speed recovery back up.
I'm sure the exchange operators would understand to NOT reverse their trades, now that all the rest of the market participants have been conditioned to expect trade cancellations upon flash crashes...
I like take these opportunites to wax nostalgic about the time I bought 99 shares of a $20 stock for 1 cent each.
Trade went unnoticed and stood.
The good old days.
S&P 500 FINANCIALS INDEX - an important chart:
15% off is a fair Trade but not a penny more.
By extension all stocks that trade on the Nasdaq are 15% over quoted
the Dow 15%
But first you have to remove all the POMO lipstick and the fake tits to find unadulterated stock prices then you may have your 15% off.
Where are the arrests for the criminal activities/ corruption. Surely they have painted themselves into a corner.
This is closer and closer to Pakistan where shares are not allowed to go down anymore, unless you burn the exchange.
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