TICK Plunges As Suddenly Everyone Sells

Tyler Durden's picture

It took the algos a good hour of digesting the Fed's PR before slowly and surely, as we observed when noting the stealthy action in the VIX, the crowd shifted suddenly from the right side of the boat to the left. In the process, it pushed the TICK indicator well below 1000. But it is probably more notable that a modest 1% drop in the S&P is enough to bring up rumors of a "Markets in Crisis" special, and force all those who were buying on the low-volume levitation into a coordinated sell-off. New York Fed's Kevin Henry better show up soon or the last hour of trading will get messy without an invisible hand propping it up.


and volume explodes...


ES drops to the lower end of its up-trend...

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Spastica Rex's picture

You wish.

I mean, I do too, but get real.

Dr. Engali's picture

I'd like to believe that, but more than likely a bunch of shorts are thinking The same way, and will jump on this tic down just to be squeezed out by the Bernank later.

PUD's picture

What a sad commentary of the state of things when "investing" is measure in tics and minutes....the sooner prechters dow 400 call is realized the better

nobusiness's picture

wait for it 5 Million buy on the SPY will come shortly.  Plunge Protection Team has been activated

GoldenGal's picture

OMG!!! What am I doing with all these deflating useless pms...I could have bought netflix instead!!!

Jonas Parker's picture

Methinks there are readers here who don't know sarcasm when it bites them on their algos...

Piranhanoia's picture

Boom goes London,  Boom Paris.  Algo eats what Algo sees.  Howabouta new game show "computers gone wild"   "crazy machines buying food they don't eat",  "out of control bots doing nasty things to living beings",  "fast computers launching slow missiles to ensure compliance"  

nobusiness's picture

running like roaches when the lights come on.  Could be worse than a fire in a Brazilian disco

Frank N. Beans's picture

holy shit, thanks ZH for the earlier article on HYG/VIX relativity indicating to maybe short this sucker.  I just bought some SDS after that, just in time!!!!

Dr_Lucid's picture

I think this is just a test to see how stable the markets are if the artificial POMO buying is stopped.

Kind of like pulling your finger out from the dam to see just how bad the leak is before you plug it back in again.

Al Huxley's picture

Huh, so looks like once again the Fed proves to itself and everybody else that you can't fuck over the PMs by threatening to take away the punch bowl without also breaking the stock market.  Tough luck Fed boys and girls, but apparently the market's either dumb enough to believe your bullshit or smart enough to call your bluff.

fonzannoon's picture

i am waiting for the cnbc segment on how the fed are acting like a bunch of desperate clueless animals. should be coming up soon.

Panafrican Funktron Robot's picture

Gold priced in Euros dropped a whole 0.41% today.  What an epic crash!

css1971's picture

Gold in GBP is bascally unchanged.

This was a dollar move.


nobusiness's picture

Let's be honest.  Who is crazy enough to be buying stocks right now this minute after a huge run.  Even the dumbest coolaid drinker should have the sense to wait for a 3 % correction

TuesdayBen's picture

Whoever's in charge of the Invisible Hand at the Fed must simply have dozed off briefly.

akarc's picture

This a test, it is only a test. 

buzzsaw99's picture

ask not for whom the (top calling) bell tolls.

Banksters's picture

Bernanke just released the following update.


As you know, timmy is gone.   That putrid shit was good at one thing, tossing fed governors salad.  Our qe comments are related largely to crusty assed voting members not getting ye old rimm job.


Hopefully, this straightens up all confusion regarding qe.

razorthin's picture

I still think this ridiculous levitation is Obama's sequestration buffer.  But it might collapse before the finish line.  sniff sniff

caimen garou's picture

bozo ben will come to the rescue shortly

EclecticParrot's picture

"Hello, this is Jon Hilsenrath"

"Jon?  This is Ben.  Hey, I don't know if you've seen the market's over-reaction to our innocuous little minutes, but this might be a good time to get something out on the website.  It's 3:44, and the end-of-day 3:52 algos are waiting for their instructions."

"Should I say some of you still see "strong headwinds", or some such nonsense?"

"That'd be perfect.  Thanks, Jon"

"No problem.  Bye."

Caracalla's picture

Why aren't people BTFDing this afternoon???

razorthin's picture

An actual dip is requisite.  I await that too.

orangegeek's picture

And the US Dollar is rocketing while the Euro, Yen, GPB and CDN are in the tank.




If the downside momentum picks up, it's going to get messy.  Fed will be buying everything they can over the next few days - weaken the USD and prop up markets.

Trying to Understand's picture

Let me know when it has dropped at least 5% in one day... THEN I'll get damned excited!!

helping_friendly_book's picture

I think they changed Kevin henry's password!

Colossal margin calls.

Beautiful man. Can we make -20 on the S&P?

resurger's picture

Benny et al are "Dithering"

Panafrican Funktron Robot's picture

This has bear trap all over it btw.  

Mesquite's picture

So...Who was the Mr. Big that placed the 11.4 Mil $ short on the mkt a couple days ago..?? Nice to be an insider...

catacl1sm's picture

Update: it got ugly. lol

ZeroAvatar's picture

If the Dow is 'forward looking', I'd say it got behind and has about 6- months-in-the-rear-view of catching up to do.

Bryan's picture

Just as the FOMC came out I felt a great disturbance in the Force, as if millions of voices suddenly cried out in terror and were suddenly silenced. I fear something terrible has happened.

Tombstone's picture

You call this a sell-off?  Nothing more than a few insiders, cheaters and computers locking in recent gains.  The socialists will never allow the market to fall as long as they can print the bucks to keep it afloat. 

Number 156's picture

You can print, but at some point, it will technically cost 1 dollar to print 1 dollar.

Then hell breaks loose.

TraderTimm's picture

After reading ZH for a while you tend to get jaded about the excited commentary over an impending drop. Here's the script - yes, the market will dash itself on the rocks below eventually, but for now, prepare for an inverse of what happened today.

Yeah, I hate it too - but I can't ignore the fact that any decline has been met with an equally idiotic rise. Someone wake me up when this sucker actually falls apart. That I'd like to see.


Number 156's picture

1% drop isn't that much in my opinion.

Be patient. Its coming.

.. we now resume our regularly scheduled programming.

stormsailor's picture

wonder when that 1427 gap on the /es is going to get filled?  sumbitch has been sitting there since january 2.   made my first coin in the market on buy orders at the bottom of gaps, but this has been there nearly a quarter.  goes against all the oldschool rules.

helping_friendly_book's picture

you have been served?


you seem to have more fortitude than I?

I let my usd, rmb, languish unable to make a move.

I know any move will punish me.

I pile into usd and rmb.

soon into francs.

wtf! what shall I do?

character zero. 

Hannibal's picture

All you "paper" holders are gonna get screwed to Zero!

helping_friendly_book's picture

step into the freezer.

freezer w/ a tweezer?