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New Level Of Stock Market Quote Insanity
If there is one thing Nanex does with absolute perfection, as in the case below, it is to show how the New stock market Normal is best suited for various robotic creatures, and ideally to be avoided enitirely. Because surely after years of warning, and daily observations, including perfectly recurring events like the Flash Crash, at this point the farce that is the market should be known to everyone.
From Nanex:
New Level of Quote Insanity
We knew something was different about today. The following graphic neatly captures it. It shows the 15 minute average percentage of quotes considered excessive each minute (over 500 quotes per second per stock) between January 2010 and 11-May-2012 (plotted as thick red line). Note how this line was persistently high the entire day relative to trading days in the past. This probably explains the crazy high quote rates and prices shown in the charts below.
Excessive Quote (Percent)
Right before market open, 4 symbols had quote rates over 12,000 per second. Here is a list of those events:
Random images showing unusual quote activity involving multiple exchanges. Some of this activity was right before release of Consumer Confidence news (more on that here).
GOOG 100 ms
GOOG 25ms
GOOG 10ms
GOOG 1ms ~ This is just 1/2 second of time
MIDD 1sec ~ Look how frequent best bid/ask switches exchanges
MIDD 10ms ~ Zoom 1
MIDD 10ms ~ Zoom 2
»
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" AlgoRythom -s & Head Lines!
At least it's not "volatile".
It seems to me that we now have chaos in equilibrium.
Man, I love those "Established Men" ads in the pp click ponzi.. I aim right for the titties when I click on them..
PS: Thank You NSA for logging that comment. For the permanent record, Yes, I love boobs and chicks are hot!
for reals
"There is nothing wrong with your computer monitor. Do not attempt to adjust the stock price. We are controlling manipulation. If we wish to make it higher, we will HFT up the volume. If we wish to make it lower, we will HFT down the volume. We will control the bid. We will control the ask. We can roll the market, make it flutter. We can Algo the Dow to a soft close or bump it to a vigorous spike. For the next trading day, sit quietly and we will control all that you buy and sell. We repeat: there is nothing wrong with your computer monitor. You are about to participate in a great adventure. You are about to experience the awe and mystery which reaches from the inner mind to — The Stock Market Outer Limits."
You unlock this door with the key of quantitative easing. Beyond it is another dimension - a dimension of fraud, a dimension of muppets, a dimension of Ponzi. You're moving into a banana land of both shadow and substance, of thieving assholes and corrupt hopium ideas. You've just crossed over into the Bankster Zone.
Why The Dow Jones Will Reach 11700 Sooner Than Expected
http://stocklegends.com/dow-jones-crash-technical-prediction/
I am partial to the snorg tees chick (meh)
there really is no need to fear. Congress is actively passing legislation for itself as a legislative body, requiring all who serve in government (in either executive or congressional branches) who are responsible for overseeing lawful participation in electronic trading, to undergo a 6 month boot camp to learn basic computer science and networking, with a focus on how programmed algorithms can be used to influence market conditions.
Once they understand the volatility that this practice entails, they will make certain that all of this johnny-nonsense gets reigned in ASAP.
Trust your government
I know who is doing the “regulating” as they call it. Believe it or not they are a company located in New York that has a workforce of mostly people from India. This programming group has rang the opening bell on the floor of the NYSE more than once. They hide in plain sight. My trusted informant believes he is stopping the market from acting strangely when in fact they are the ones doing the opposite of what a free market is supposed to be. Last summer in August something happened and he had to go into the city while we where having a family BBQ it was a Saturday and he worked through the weekend. He said the markets almost came undone. The best thing we can do is not participate in the market and try to get some one elected who represents true free markets and will stop this charade
Hey dudez......stop bogeying the quotes!
bogeying ?
You must have spent your time in collage actually studying.
Bogart or bogarting could also be considered acceptable use.....
Several people have emailed asking how Humphrey Bogart’s name became associated with a term meaning selfishness. Ah, how soon we forget the intricacies of ‘60s drug culture. The selfish connotation comes from hogging a marijuana cigarette. Someone who kept the joint in their mouth, hanging from their lip like Bogey
http://www.wordorigins.org/index.php/bogart/
I have partied with the best,
I did say "Believe it or not " its a free countr........oh never mind
This is what I think of that:
http://maismenos.net/adverthazard/egosum.php
And all this time I thought origination of the term "bogart" applied to calling someone out for slobbering on the mouth-end of a roach, the way Humphrey Bogart smoked. In Casablanca, for example, the dude would be licking his lips wet and when he took a drag of his smoke he would literally saturate the filter with saliva.
When we were passing a bone around on the path when I was 13 / 14, and someone said, "HEY! Don't FUCKING BOGART THAT Joint!! I always thought they were saying, "HEY! Don't ******-lip that joint!"
(sorry for the racist comment, I can assure you I am not a racist, just saying what was common-slang in white-surburban greater-Boston region, middle-class town I grew up in in, to draw analogy to what I had thought was the reference to "Bogarting")
You are CORRECT sir!. That is exactly where it came from and what it meant.
These other youngsters have mis-understood and/or added variations to the original.
A loong standing question for me has now been answered. thx
Saw the website "stocklegends.com" and read it "stockle gends". Need a vacation.
Isn't this what occurred after the US downgrade in August 2011, only that the algo's pseudo-trading liquidity-pump is even more frantically reactive and pro-active now?
So what's this ... pre-emptive "it's already been priced-in" day for algos? Or is it rather a direct reaction to NOW? ... thus much worse dysfunction is logically still to come as the year unfolds?
Perhaps the 'market' (that would be the fine and upstanding algo 'community') can't tell the difference between the US mess and the European mess any more, so they are forced to just treats it all like a single unified pile-of-dung?
(i.e. the all-singing all-dancing crap of the World )
Differentiation has dissolved, or rather, has become impossible?
I think so.
IMHO they know the volatility is coming and this is just beta testing for their arb algos, sweeping micro-pennies at the nano second level is more profitable if you can move it to the milli-penny or even penny level.
Alternatively they might have cloned a T400 terminator for their algos and weren't able to fully purge the 'destroy humanity' programming from the circuitry.
Either way it means things are going to get even more exciting.
ZH: Everything you know is in the Desert of the Unreal.
Sheeple: Do you have a glass of water? I have this handful of blue pills and, well, they have nowhere else to go. We must save them from an otherwise useless fate!
ZH: Do you like Tasty Wheat?
Just keep stretching that rubber band further and further. The entertainment value to me depends on it.
Looks like the next one will be a Flash crash all right but not a flash recovery. And the more one ponders it, the clearer it becomes that PPT or someone has the ability to bias the algos.
Whatever the "key" market numbers are, those seem to tbe some sort of limits for the SECond/Hour/Day...else, how does such a system stay stable?
Which also tells me that the downward race won't be dis-orderly even if it all hapens very very fast. Keep seeing the towers coming down as a planted visual for what will happen...
ori
sifting-the-sands-of
When the " door closes" O/R/I? I got it: even if it all hapens very very fast. Keep seeing the towers coming down as a planted visual for what will happen...
More like slams shut...yes... like that..
Watch your "tail" risk...
ori
The unintended consequence is not refreshing the page to see the latest headlines for fear of losing the current cleavage!
I pay attention. It is what it is! 1
welcome to skynet... I had to look up chaos equilibrium-- good comment; In fact, I am still trying to figure out if it's a quote from the Simpsons (joke) or something real... plus one...
skynet at it's best using "Non-deterministic" probability computing to create perfectly orthogonal multivariate, integer factorizations...
I can't wait to see these robots trade this drop this thing to zero when the "chaos equilibrium," can no longer be achieved... buy gold...
~actually (just found the quote) in the Simpsons they called it: the 3 stooges syndrome... probably much more fitting to describe what's been happening in the markets~
DOCTOR HIBBERT
Well, you'd think so, but all of your diseases are in perfect balance. Uh, if you have a moment, I can explain.
MR. BURNS
Well... [looks at his watch]
DOCTOR HIBBERT
Here's the door to your body, see? [bring up some small fuzz balls with goofy faces and limbs from under the desk] And these are oversized novelty germs. [points to a different one up as he names each disease] That's influenza, that's bronchitis, [holds up one] and this cute little cuddle-bug is pancreatic cancer. Here's what happens when they all try to get through the door at once. [tries to cram a bunch through the model door. The "germs" get stuck] [Stooge-like] Woo-woo-woo-woo-woo-woo-woo. Move it, chowderhead. [normal voice] We call it, "Three Stooges Syndrome".
MR. BURNS
So what you're saying is, I'm indestructible.
DOCTOR HIBBERT
Oh, no, no, in fact, even slight breeze could...
MR. BURNS
Indestructible.
Taleb would call Mr. Burns brittle, or fragile. I am anticipating two breakdowns. The first will be the planned exit strategy, the architecture of algos and overpaid PhDs, the second will be the breakdown they did not forsee, unable to recognize their own limitations in predicting human behavior or the future. The market is way too brittle for any plan to work. Either way, let's get physical.
nice point... I like how you say either way (they can't control it perfectly)...
~the control of chaos is "fringe-y," at best; it's like a Macbeth play on crack... We have seen this time and time again... and show me any point in past history-- more recent or ancient (in the long run)-- when the evils of something similar worked out... it never does... these crooked games won't last... as they say, "you can't full all of the people, all of the time..."
~"systems can operate in a region between order and either complete randomness or chaos, where the complexity is maximal..." hmmm...
from evolving systems theory ~"the rate of evolution is maximized near the "edge of chaos." (i.e. see chart above, i.e. see chart above dropping to 00000 zero 0000, and blowing up some other highly connected system or systems)
-- pick your poison-- bonds, derivatives, credit, currency fiat, equity stock(s)-- they all drop to zero except (survival rate drops to 0 zero on a long enough timeline, right!) sometime soon; again, pick your poison-- inflation/ deflation; what matters is when you CANNOT/ no longer exchange what was once of value for something like food or running water (something of actual value)-- paper fiat is just that paper... however, except-- for tangible things (think physical metals, land, farms, oil)-- they will retain value while the "system" resets); then maybe we can evolve or build something better, so to speak [as we stand on the "edge" of utter chaos?)...
black swan bitchez
+1 for the \-s\ flag
Rhythm Method....always works.
I keep getting error 70.
"Rhythm Medhod .... always works."
... until it doesn't ...
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Awesome graph: Evil in all it's splendor.
Does someone care about the stock market? I thought it was only for the naivest of the naive.
Hooray! MOAR f'n insanity!
It's called "investing."
Awe cdad. I thought we were friends?
Just like those ( euro/Fed) spreads.
12,000/sec...mind boggling
Is it the baffle them with flashing lights algo?
Fuck counter party risk! Buy silver, bitchez!
XAU is going to bottom " Between 1559.40, and 1530.77." Technically...
100% retrace on the move from 1741-1521. Bottom of the daily channel comes in @ 1530.77 <>
Uptrend line/ comes in @ 1559.40. Hope I helped.
I love you yen
There will be massive buying at that level.
Unless they time the bottom with a crash so there won't be any demand. My (short term) worry is the big buyers such as the Chinese gov are in it for they long haul and don't want high prices now. They would love gold to be at 800 for the next year. What happens if they decide to help the central bank manipulation for they moment so they can stock up on cheap metals for their reserve currency yuan scheme? In a turmoiled market there might not be enough investor demand to hold 1525. Below 1525 my untrained eye sees only air. Still it would take a lot of effort to break 1525. Options look safest at the bottom. Convert them to physical if prices rise and limited loss if support fails.
Great as usual - thanks Yen
trend lines don't work very well without a little math to help out
2012 apr 25 gold 277 week ROC | goldpricemodel
2012 apr 17 gold ROC trends | goldpricemodel
Channels / ? Fundementals?
It doesn't matter. Have fun with your / BOYZ ?
Channels are frequently misidentified. Generally more than 90% of so-called "trading channels" are wrong which draw linear-patterns on linear-graphs or on log-scale graphs. They have no utility, no back-testing reliability.
Fundamentals are not in the charts. Fundamentals include multi-century comparisons of resource uses vs technological advances vs population growth before even beginning to factor in the disruption from fiat currencies & from fraudulent trades of the actual resources (wrong item, wrong volume, non-delivery, etc.). Show me where the trading channel indicates those fundamentals.
My charts are short-term enough to work within a "limited drift of fundamentals" which may even be zero drift and long-term price-action mostly reacting to harmonics of the same agents of the fraud. Without their fraud to move the markets I'm sure this particular charting trick I'm using would actually not work very well at all.
If you want to convince me you have useful trading channels identified then try to show their formation or expected formation well in advance of their completion. Since chaotically there's multiple paths to the future why not consider a decision-tree about what direction & width each channel will have that sit in a competing set.
That is to say if you had 3 channels "next" only 1 of them will happen but you can identify one that really happens and really make use of it before it expires.
how about silver?
Oh, those elevated quote levels, yeah, that's just the new normal. The red line was really pissing me off. I finally just created my own software to smooth it out so I don't have to look at it anymore. Computer fixes it automatically now. Good times.
Attention Don King. Attention Don King. We found your weave sir.
GOLD!!!!
biotchez
silver beeatchies
Really, this is just a run-of-the-mill Denial of Service attack. And criminally, it should be treated as such.
The service denied being true price discovery.
Let me parse it for you ...
HFT trading is nothing more than a denial of service attack on a market where the service being denied is true price discovery.
... so this must be what Kudlow means when he talks about "free market capitalism" ...
SPG can moe up and down 1% on 100shares. this is how it works today: FED buys everything which is sold.
Maya Mural Found, Contradicts 2012 "Doomsday"
Hehehe. They haven't looked at this article.
If you want to know about Mayan murals, would you rather trust a Western scholar or a Mayan elder?
http://www.youtube.com/watch?v=3v67pxeizXo
Remember who owns the MSM and in what purpose they're using it!
Finally yen cross wrote something i could understand
That's just the Fed-branded pacemaker doing it's work.
event horizon ; i.e. black hole
Spaghettification, with " Port Wine", works for me?
Would one of you " KIND" posters, offer-UP a " Financial Calendar", for next week.
Japan { GDP @ 145%) Then I look at Korea! It's no secret, Asian Central Banks, are playing the $!
I'm writing this from a " Blimp"!
Fudged data, Greece/Euro rescue reports, Congressional hearings (circle jerk), QE3 rumors, market range gyration.
Gold and Silver on sale.
There is no spoon
Why would you / Dismiss a technical fact?
I dismiss a technical misinterpretation of data - you collected facts (prices) to assert a misinterpretation (source: you).
I corrected it using math.
Trend lines are not a technical fact.
If you're talking about this NANEX issue I'm dismissing nothing but the validity of the market as a total system. The existence of the HFT's and their specific activity (fact) is actually the basis of my conclusion. "there is no spoon" = there is no logical reality to the market, no basis to any human need or intention, no pricing mechanism, only dynamic algorithms seeking local optimal on sub-second time-frames with no regard to actual results.
Not only is this biased from the personal gains to those who pay for the HFT's it is also biased that very sharp moves locally induce much worse longer-term investing situations even for those same HFT's beyond their own microscopic event-horizon. Add to this a total disaster: there's a market-maker bonus factored into their profit-skimming event-triggers such that horrific trades in horrific patterns are rewarded very well in "liquidity bonus" based solely on the number of trades per time unit (win or lose).
Maybe, just maybe if the bonus was given conditionally on keeping market prices fairly flat while inducing the higher end of the trade that would be acceptable but we'll never know because that's not how the system works.
Perhaps you completely misunderstood me.
I hope this clarifies.
I read this as grow up and deal with it.
If you want risk free returns, join the govt and point a gun to make subjects pay you duty. Otherwise put on your big boy pants and choose your level of risk.
All aboard for return-free risks! :D
The fucking best private company that is on our side. Hands-down.
Not quite. Think of windmills to chase.
is that a slick way of saying that HFT isn't something real?
Tyler. Thank You/
He Who posted " FIRST" Let's start a donation to "TYyler",
WHITE RINO Campaign? No Gay Marriage Junk!
I'll talk to my Atty: AND FIGURE IT OUT!
superPAC
oK? We're over the " PSYCHEDELIC", Bull Shit?
Hmm is this HFT or a denial of service attack?
Is that " ATM'card""still working?
The Liberals are waking up!
Ya gotta love the "ORANGE"bands!
Tyler,
What happened today also happened on Monday, same pattern, markets turned from bright red futures to mildly negative as markets opened at 9:30am and then within 5 minutes, the markets turned into green territory and kept going up in choppy trading, and finally closed near the session open within 9 points for the NASDAQ.
These HFT algos are dumping buy orders like a blizzard into the market to artificially force the pricing up acrosss the board and the program trades shadow the Euro markets so as to not make it too obvious, then when the Euro markets close, pricing continues to keep going up and up.
Our tax dollars at work to prop up the stock markets so the 1% can rest assured that the economy and their investments are doing well despite what the 99% think or have experienced.
http://www.youtube.com/watch?v=yY4s4SfgEEM&feature=related
That looks like abstract art.Nothing more nothing else.
What are u trying to demonstrate...that the markets are manipulated?Well so what.
Crying because of bad trades ?Needs to find someone responsable instead of looking at your inability to have a proper discipline?
How contructive those charts are supposed to be?
Please weak up and grow up!!!
Do you beat little old ladies for their money and kids for their candy in your spare time?
Cut him some slack....everyone needs to have a hobby.
There are people connected those colors and lines.
Pensions, salaries, savings, careers, spouse, kids, mortgages, food.
Amazing ability for machines and mammon lusters to pretend it is all numbers.
Thanks to ZH for lifting the veil.
Burning your golden calf icon :
the life of Jamie Dimon - Business Insider
When Corpocracy has nowhere to run nowhere to hide, we burn those we once admired. But this means things get more and more viral behind the curtain as the front man is now exposed. The iron hand has lost its velvet glove!
And the JPM Meltdown has been provoked by massive hedging gone sour against the Eurozone meltdown. Its the signal that Corpocracy cannot stand the heat of the Banking Domino effect, they will ask FED to QE-3 if things get tougher in Europe, as Greece melts and Merkel-Hollande stand off sends shock signals across the markets.
And Blankfein and Dimon better find their hidey-places.
http://www.telegraph.co.uk/finance/financial-crime/9260405/Top-SEC-inves...
Meanwhile at the SEC in The UK . The chief investigator who brought a bulllet proof vest into work and threatened to bring a gun in has been suspended!
Nanex has become self-aware
sometimes the ZH buzz goes around the world :
Concerning the numerous posts here on ZH on the JPM topic, here is a ZH tweet that was picked up on Huff Post France :
Bourse: la division de Bruno Iksil, le Jérôme Kerviel de JP Morgan, fait plonger la banque
BTW I feel proud to have contributed on this remark about "three French musketeers systematically destroying the US banking system" as the ZH tweet pointed out.
As I had made the same remark on ZH here :2414768
So what goes round comes around.
Full respect to you Falak pema
thks but none required as I'm an impertinent b*tard and enjoy life. As the bard said live intensely and let those others worry about living long. Viva la vie!
The God Particle in a Google Quote.
Work with me here...this is back of the envelope stuff...BUT:
What would happen if the folks at CERN went ahead and simultaneously retrieved a couple of the quote feeds from Nanex?
Think about it: Goog to the left and AAPL to the right. [They already have some SERIOUS momentum heading into the supercollider...]
Jack those fuckers up to 8 TeV...and in .2 nanoseconds...BAM!! Higgs Boson Bitches!
Match up some of those Nanex charts with the Higgs Boson renderings...They are indistinguishable. http://bit.ly/KxezTV
These guys are Nanex are doing some cutting edge shit. They aren't Game Changers; they are Paradigm Changers.
"And the Nobel Prize for Economics-Physics goes to? "
"And the Nobel Prize for Economics-Physics goes to? "
Julio Osegueda has the envelope.
http://www.youtube.com/watch?v=d6v0l_KEayk
Please give a warm welcome to our special guest reading the results.
http://www.youtube.com/watch?v=P36x8rTb3jI&feature=related
....and to think he just won the Nobel Peace Prize......cat is definitely on a roll.
Zero Hedge rocks.So does NANEX.
Between the JP Morgue call and the ruthless exposure of the Evil that is HFT, Tyler demonstates once again why ZH is indispensable as the red pill of our time.
The Theiv-o-Matic at work....it works until it doesn't.
These are the new option trader charts.
I'd like the colorful one in 70' by 150' for my house
What a fucking joke. Allthough I do know some technical traders that are making a killing. People say it doesn't work, i've watched them and know that it does if you're really good.
A gradual deterioration in the collateral backing multi-cedulas
http://www.cnhedge.com/thread-4107-1-1.html
http://www.jinrongbaike.com/
Halved everything weeks ago. More halving soon.
good luck human
Thank God they finally have the chaos under control.
So the little guy works out the market is rigged and he can't win, withdraws from the market and watches the computers fight it out, is this a case of last computer standing wins? or are they still relying on whales to provide liquidity, what happens when even the whales realise the market is rigged they can't win and they withdraw from the markets?
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