For all those wondering what may force the "GREAT RESET", we now know. According to the below email from the Nasdaq sent out 24 minutes before close, we were just 10% away from the Nasdaq essentially DKing all trades on one of its UTP channels, and "restarting the outbound message count. If the count is restarted, the UTP SIP will be unable to process any UQDF retransmission requests for the affected data channel..." All we need now are the HFT quote churners to put the empty churn knob on max tomorrow, and the market, well, breaks.
From: Trader Website [mailto:email@example.com]
Sent: Wednesday, August 10, 2011 3:36 PM
Subject: UQDF Channel 6
NASDAQ Operations has recently updated the status of the following NASDAQ Market System(s) to the NASDAQ Trader website:
Given today's market conditions, the UTP SIP has already disseminated over 90 million quotation updates on UQDF channel 6 (S-Z). As noted in UTP Vendor Alert #2011-2, the UQDF message sequence number is a 8-byte numeric field with a maximum value of 99,000,000. If the UTP SIP processes more than 99 million quotation updates messages for NASDAQ symbols in the S to Z alpha range, it will need to reset the UQDF channel 6 message sequence number to zero and restart the outbound message count. If the count is restarted, the UTP SIP will be unable to process any UQDF retransmission requests for the affected data channel prior the message sequence number reset event. Please note that only UQDF is close to its maximum sequence number. Because the UTP SIP has established reset procedures, trading should not be impacted.
Please refer to the link for additional system status updates.