Dow down 1000 pts..what the hell

Isnt the term for this, "shaking the monkeys [from the tree]"?

Massively short a stock, til it hits every ma and pa's 10% trailing stop loss... cover when the bottom falls out.
 
Sanket Patel said:
Try it and see how far you get
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Ordinarily I would agree, but I have seen several occasions in recent months that seemed to me at the time like big blocks just got dropped suddenly on the market, resulting in quick spikes down. Of course I could easily be wrong, but to me at the time they seemed like singularly unwise ways to go about selling.

In your bones, there's an elastic region where a particular stress causes a proportional compression. This is the usual mode, in which your bone behaves like a spring. Stress it too far, however, and the bone goes into a plastic region, where even the smallest additional stress causes a massive compression; the ability of the bone to resist pressure essentially evaporates. It requires very little additional stress to cause failure: the bone breaks.

So if you accept the analogy, you can imagine the usual region in which market response is elastic, and it is not really possible to make a profit by dumping an issue and then buying it back. But if you stress the system far enough, you may be able to prompt a disproportionately large response. In this case, you could at least in concept profit by selling quickly to wipe out the bids, let it fall until support begins to materialize (SPX went for about 3 minutes, blowing through several support levels today without even blinking), then buying back at the lower level.

Just a thought, anyway.
 
daleholborow said:
Isnt the term for this, "shaking the monkeys [from the tree]"?

Massively short a stock, til it hits every ma and pa's 10% trailing stop loss... cover when the bottom falls out.
Click to expand...

First time I've heard retail investors being referred to as monkeys...though in all fairness, that's not very far from the truth XD...
 
Some excellent audio of an S&P pit trader as the madness transpired:

http://www.zerohedge.com/sites/default/files/Market%20Crash.mp3

[[Edit to add:]]
No, the link isn't broken. The site is run on a shoestring and has a large readership, so often--especially on down days, it seems--there's too much traffic for the server to handle.
 
That S&P pit trader is insane :) I cannot imaging working like this every day. He would be better off commenting sport games like soccer in Mexico. He clearly has a talent for that.
 
Uncle Max said:
That S&P pit trader is insane :) I cannot imaging working like this every day. He would be better off commenting sport games like soccer in Mexico. He clearly has a talent for that.
Click to expand...

A friend mentions horse racing. It sounds like the commentary for a long, long, long final stretch ...
 
The third guest sounds like he is on crack - he comes across as an aggressive douche. Such a contrast in character to the other two. Props to the HFT dude who shoots him down.
 
450 point rise in 10 mins. Will the government investigate!? OUTRAGE!

Hahaha
 
Old video... right after the crash.

Video - CNBC

Discussing the future of high-frequency trading and whether the technology is part of the problem, with Irene Aldridge, Able Alpha Trading; Joe Saluzzi, Themis Trading; and CNBC's Rick Santelli.

Manoj should have been there. Set them straight.
 
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