Re:Stocks Off Sharply as Market Upheaval Grows
by anonu on Monday August 24, 2015 @12:22PM
(#10110920)
Someone really bit the dust this morning in ETF land. Lots of US ETFs were down 10,20,30% and were halted due to circuit breakers. There is some quant/market-making firm out there that is really paying for this today.
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Re:Stocks Off Sharply as Market Upheaval Grows
by rdtsc on Monday August 24, 2015 @01:12PM
(#10111369)
Could one make a bot to make money off crashes like these (like gp post suggested). It would seem circuit breakers would limit that possibility, and also, didn't they revert trades in the past during such flash crashes as well?
Re:Stocks Off Sharply as Market Upheaval Grows
by anonu on Monday August 24, 2015 @01:50PM
(#10111685)
Yes - if you have better information than everyone else - or at least can extrapolate where the fair value of products are based on where other things are trading - then you would be able to make a bunch of money. On the other hand - many of these names kept flipping their circuit breakers on and off. So, not much volume may have traded at these "wrong" prices. I was expecting a lot of CEE (Clearly Erroneous Executions) to be raised this morning in all these ETFs - but I haven't seen it yet.