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Mini Flash Crash? ES Plunges By 2 Standard Deviations In 5 Minutes
The last 5 minutes of today's somewhat tempestuous day saw a rather dramatic plunge in ES on very heavy volume which could easily be flash-crash-worthy in its description. Having tested VWAP a number of times during the day and been unable to make any progress above it (suggesting program selling was active), the final desperate straw broke the camel's back into the close as ES dropped 1% in less than 5 minutes as volume dwarfed the rest of the day with machines fighting each other to exit at a reasonable price. Furthermore, the drop in ES was very much standalone as other risk assets did not correlate instantly and only started to drop after a delay led by equities plunge. ES is holding these losses after-hours at a steady 1160. Where's Waddell & Reed when we need them?
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dare I say, boom goes the dynamite?
fire!
Geez.. it’s nothing but a rigged market doing what it does best.. screwing with everybody.
Machines were pre-programmed to dump after a fake-out in the last few minutes – probably didn’t make any difference where the market was at the time.
Sold some VIX at 3:56 pm and some VXX at 3:59.
It worked for me this time but it was a fluke.. I was holding them for the end of the day anyway, and thought I was going to take the pipe when I saw the huge spike building with 20 minutes to go.
Next thing I knew it was heading down like a Stuka over Warsaw.
Worked great for the levered positions, but I would still prefer a market of the people by the people over this machine crap.
Notice how it settled out after the close.
Does this make Bernanke a Flasher because he caused this little crash? Hmmm.....
-John
http://www.johnu78.com
Oh, and I wonder how many ten of millions of dollars in positions got stopped out on that 3:45 pm head fake?
yeah, I hit my stops, although I usually know to expect an 14:30 run. it still bothers me though. and this wasn't the last five minites. I broke my computer down into much less than that and it was for sure less than 2 minutes. it really was a bs head fake move for sure because you touched the hourly trend line. it's also proof to me that the algo's are wanting to push it lower. I hate american markets. It's the same algo pattern often bottom 10:30 back up to 12:30 down to 14:30 up then down. I wish it didn't work like this.
i see no support before the ES 1100-1110 range and considering the current environment and how often that level has been tested (back to 04 05 at least) i expect that support will fail
Awesome!
Don't mean to be rude, I'm just curious.
Sold some VIX at 3:56 pm and some VXX at 3:59.
How do you sell VIX? Do you mean that you sold ETN perhaps?
The market will pick up again.
Soon the FED or the ECB will start printing money.
It never fails.
Wash. Rinse. Repeat.
http://fucklloydblankfein.blogspot.com
added to sunday night football and a small flare up in the middle east, i'm sure everyones concousness will be too occupied to care. More Rumors come sunday and we'll rally whatever we lose this week.
Happy turkey day everybody.
regarding the ecb: http://www.hussmanfunds.com/wmc/wmc111121.htm
Zero Hedge in the mainstream media
http://www.smh.com.au/business/investor-fears-no-figment-20111123-1nuya....
The power this blog has on world markets is frightening!
Only if you have something to hide or be afraid of. ZH is generally fair and geared to the common good. More power to ZH.
the aussies have found ZH, here we go, crappy rugby stories about to flood the board
wait for it....
http://www.youtube.com/watch?v=W45DRy7M1no
although the ears are similar, i don't think he will become president.
europe will be very similar to sudan or darfur soon.
http://expose2.wordpress.com
Looks like a turkey leg.
Turn those machines back on!
My guess, there was too much inventory left and not enough volume to clear it.
Puke up time. Pretty much came out of the blue, with no way to predict it. Other than you have to be nuts to be long eod unless you like holding the bag.
Someone left the casino.
Loving my shorts this week! :-)
Can't be short enough in this market...............love SDS and EFU!
I'm re-joining the FAZ party on Friday AM.. or maybe Monday AM.
@homersimpson
FAZ could gap up Friday and not look back for a week.
srs? check out the 200 day moving average.
Fat finger make shit hit fan
Europe declares Thanksgiving holiday in 3..2..
Good idea.. then they could merge Thanksgiving, Christmas and New Years and extend it until it's time to take of for Santorini or the Costa del Sol for summer holiday.
No pesky markets to worry about for a long time.
i say "Good"
bring this turd down.
Hold on to your shorts.... Whhhhhheeeeeeeeeeeee!
It actually makes sense if you think about it. Today was really the last big trading day for the week. Friday is a wash anyway, with most likely very low volume and many big traders taking the day off.
Probably big players didn't want to go into next week long with so much uncertainty and Europe changing by the minute.
Agree
I was watching the SPY all afternoon.
SPY sellers got burn 3PM anticipating big buy orders coming almost every 30 minutues sharp.
In 3 O'clock one it came 1-2 minutes late. Big swings from 2:30 PM.
Lucky I unloaded Ultrashort SMN EEV EPV at last minutes 3:58, 3:59.
I didn't want to hold over a long weekend, same as longs didn't want hold over.
I kept my EPV.. lots of opportunities for the mess in Europe to get worse with two sessions before US opens Friday.
Timmay and Bennie are probably off to some secluded Carribean Island together and can't be reached to wire pizza money to Mario.
/ES traded in a channel all day between 1169-1161. As several attempts to break above 1169 failed, everybody got the fuck out of Dodge in a condensed period of time which made it look worse than it actually was. in fact...we only closed 2 points below the bottom of the days channel. considering the news-flow for the day...I was expecting (yes hoping) for much worse.
I played that channel at the close and it was beautiful. short at 1169 and covered at 1161. in about 15 minutes.
beats the fuck out of diggin ditches.
I faded that little pop right there at the end too, was hoping I could grab a quick 3-5 points and got almost 10....was a beautiful thing. Been getting almost 10 ES points a day for the last 2 weeks, this is crazy, but I love it!
Efficient Market
Add the possibility of war with Syria/Iran kicking off, who the fuck would want to be holding anything other than a turkey drumstick & a nice cold beer through the weekend?
haha
anything other? one word: callipygian.
Really TD, Bernake is desperate to keep ES low and TLT high. He's next and he knows it.
And by Fri morning it will be up 2 D V ations...
Where was that aircraft carrier again?
No one wants to sit around tomorrow and watch Europen markets dive and contimplate what that means to thier positions
Calling Lt. Pike!
Calling Lt. Pike!
Need turkey rescue at Berk & Lee.
Starship
http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2011...
I take it "black Friday" might not be all that great this year?
It's "black Thursday" this year. Who all is going to Target @ midnight?
Had 90% of my account position in $FAZ and $EUO since last Friday. Dumped it all but a litte $EUO today. Don't want to be holding anything over Thanksgiving considering I have no way to respond to the craziness in Europe and afraid of thin volume on Friday. I would have loved to hold those positions but instead will wait for settlement and work on a new thesis. Thanks for the quick 15% Germany, France, and Italy and the stupid banks overly exposed to their debt.
Funny thing is I unloaded during the mini flash crash. Didn't realize the crash would be so dramatic or I would have held for 20 seconds longer and picked up 3/4% more. ;-)
Algo's with their Laurel and Hardy routine trying to leave the building at once
Glad to see I wasn't the only who saw that. Volume today although still short a billion shares or so was decent.
This is not the 2 standard deviation bubblevision was looking for.
wouldn't it be most unexpected when almost everyone expect at least a short term bounce and the market plunge for no reason and no news??
The HFT machines never sleep and don't eat turkey or need food.
Their "handlers" can take a day off, and simply need to load the Black Friday algorithm.
PPT entered the ring at 14:26 est. with typical psuedo-capitulation bar, then things went hyper-parabolic UP and the VacTubes cracked at 15:55 and reset the sequence. The RunStop mode to new lows was activated. Ain't NOBODY left long for Friday, when they will all be chasing that bus...Dashing Dan was the logo for the Long Island RailRoad back in the '70's- he was chasing the train as it left the station.... Happy Thanksgiving folks! Being stopped out is the most relaxing way you'll spend the holiday, be thankful. Seriously.
Neel Kashkari used to have this job, now its some newbie, relax....
Is Krugman writing for Yahoo now?
'What would happen if an asteroid hit U.S. banks?'
http://finance.yahoo.com/news/happen-asteroid-hit-u-banks-215448353.html...
They'd be happy. Only people with assets would be worried, so you're playing to the 1%. GFY.
What bank collapsed after Lehman? None. Lehman collapsed into itself like it's NYC HQ WTC7.
With all the manipulation, for past couple years...NO SURPRISE HERE!!
Hard to control this monster!..."IT'S ALIVE"
ROFLMAO!!!
I just got a commercial here on ZH for none other than Jim Cramer.
Here's what it says: "How many investors get the chance to trade with a succesful (yes, it's spelled that way in the commercial) hedge fund manager? You can, today!..."
Its your browser, playing Adsense ads from Google. Not Tyler. Are you daft man?
Yeah, I get that, but thanks. I was just pointing out that no person in their right mind should invest with someone who can't spell success.
Merkel farted!
Twitter stalker!
https://landing.thestreet.com/sembrandedsp?oid=017757&gclid=COOn3-jZzawC... Are you shittin me ZH?
flashcrash flashback
You wait till the HFTs lose their synthetic brains on the EUR. We are due for another big flash crash, what with hardly any volumes and the nerds on holiday breaks...and all the bad news that is about to get worst and worst.
waddell & reed have gone to purchase some callard & bowser for their guests & their servants, BiCheZ!
looks like the let PIKERS onto ZH after reading some of these posts
Hey grats on the 20 days!
Also grats on the $180 million!
Try not to comingle any of it.
first post for the shithead, too!
looks like you gotsa nu BiCh, fuu!
the ibankcoin crowd had been bashing zh every time the market was up. right about now they are some whiny bitchez. time to go over there and gloat.
http://ibankcoin.com/flyblog/2011/11/21/feel-my-rage/
wow...all in long with options? good luck with that...
that is a sad state of humanity over there.
They have a Hammy too, that's funny.
and ten low words oft creep in one dull line.
Ha! Nothing more than history repeating itself with dramatic plunges around this time every year!
Breathtaking futures plunge at close reminds me of October 2008... live and learn...
http://www.bostonwealth.net/2011/11/23/breathtaking-futures-plunge-at-cl...
shall we set our clocks to the volcano in iceland?
This ain't enough...Will someone PLEASE just set this mother off? The suspense is killing me. I want CARNAGE!!
I want 25% drops in ALL assets!!!!
I want 5 major BANK FAILURES!!!
...2 major INSURANCE COMPANIES to be NATIONALIZED...
LIBOR at 5%, TSY yields at -1%
Let's just admit we all way overspent and overborrowed, watch everyone's net worth plummet 20%, and move on with life. Bond vigilantes, if you're listening, please set this party off. It's the only way to take the power away from the politicians and put it back in the hands of the markets.
Kisses,
Integrale
Hey grats on the 20 days!
you should get it, but ALL assets? The EUR will be destroyed it broke the 1.34, and if the butboys and the ECB print the hedge will be oil Which is kinda interesting, China is probably crashing and oil is still bid. Europe and China are gonna get slammed with stagflation. I think the total dooms day trade has arrived...and early. no one will go long in this market, some volatility, then all out chaos. once the markets look at obama debt mania again, then downgrade, UST dump, CHina goes nuts, gold bid...war.
25% drop in all assets and "-1%" treasury yields are internally inconsistent. but you know that.
Es- is it an upgrade or a downgrade to Bs?
Somebody better come up with a plan. Otherwise, it reminds me of Slim Pickens in "Blazing Saddles"
http://georgesblogforum.wordpress.com/2011/11/02/the-daily-climb-2/
I just had to go find that video clip.
http://youtu.be/SbWg-mozGsU
nikkei just opened down 1.5%
The market is just coming apart. Relax and enjoy the fireworks. Have a glass of scotch.
Who's Waddell and Reed? I take it, it's an inside joke on this blog.
Theys the meanest cowboys this side of the mississippi.
there are things called search engines. put a term you are unfamiliar with in one and press return. then see if there is a "wikipedia" or other reference entry for the term. click on it. these computers are amazing.
Well... IMHO it was the fact that the algos were turned off. You guys that traded back in 2007-2008 would have recognized this, however I did not until too late.... like usual. Not much volume and somebody did not like what they saw over in EZ and said fuk it and got out.
Summer of recovery?? What happened, do ya think they lied?
If I knew it was going to be this kinda party, I woulda stuck my dick in the mashed potatoes.
Full on sprint rally to 1220 Monday morning, just you wait...
...to reshort all the way to 0.
Longs bailed to avoid indigestion after upcoming turkey/pumpkin fest, ergo, they'll be stampeding back like a panicked flock of gobblers next week-time to go balls to the wall on T-Day+1 for TNA and FAS!!!
HFTs are gaming Asian markets, hilarious. Nothing volumes, holidays and BS walks. The AUD has gone to la la land.
same thing happening to Copper now...
...maybe it will form a wish-bone in honor of tom turkey...or maybe not.
The S&P's are turning into Pork Bellies. Way to go CME...
holy cow batman, copper popped sum speed early asian trading - down 10c, then up 10c on good vol.
FTM
USD selling pressure continues and the prospect of an equity xmas rally and EURUSD bullish spike returns.
http://stockmarket618.wordpress.com