I made a lot of money off LRPs for a couple years. They've slowly died down to where they were hardly even utilized since people hardly send orders directly to the NYSE anymore. I'm curious what's gonna happen when someone sent a NYSE market order for a few hundred thousand shares. Oh the memories of free money arbitrage between different markets. Those were the good old days. I wish I traded the share size I do now back then. http://www.tradersmagazine.com/news...&utm_medium=email&utm_campaign=tm_xtra_040313 NYSE Withdraws Market Protections, Over its Own Objections Traders Magazine Online News, April 3, 2013 Tom Steinert-Threlkeld The New York Stock Exchange and sister market NYSE MKT Tuesday filed plans with the SEC to shut down their Liquidity Replenishment Point programs, a set of price bands that are designed to curb the kind of volatility most visibly seen in the May 6, 2010 flash crash. The exchanges, in their filings, said the shuttering of the plans was not their choice. They say they were required to, as part of a separate SEC plan to protect markets from volatility. Both the NYSE and NYSE MKT, in their filings, said they believed the plans “have delivered concrete benefits to public investors in the many erroneous or aberrant trades they have prevented” but would phased out as a result of the SEC’s plan to institute a separate set of price bands designed to put a stop to volatility trading. That is the SEC’s Limit-Up, Limit-Down Plan, which exchanges are currently in the process of testing and implementing. That plan came out of the SEC’s attempts to prevent a recurrence of the 2010 flash crash. In that plan, trading in a security will stop when the price suddenly moves up or down a certain percentage, compared to the average price for the prior five minutes. For most Standard & Poor’s 500 and large capitalization stocks, the trigger would be a movement of 5 percent or more. For smaller stocks, 10 percent or more. Price bands double in opening and closing periods. In the NYSE and NYSE MKT plans, electronic trading stops more quickly and in narrower bands. If, for instance, a $7 stock sees a movement of 20 cents, one way or the other, in a 10-second period, the Liquidity Replenishment Point program kicks in. At that point, a market maker finds or makes matches in unfilled orders in a given security, in an auction system. In some cases, electronic mechanisms handle the resolution. Resolution, when handled manually, typically takes 30 seconds. The LRP program was in place on May 6, 2010 and was credited with curbing volatility in share trading on the NYSE. The SEC did not respond to request for comment, before this story was posted. The staffs of the SEC and the Commodity Futures Trading Commission in their October 2010 report on the flash crash events, however, indicated that no single market’s controls could prevent or deal with such disruptions. In that report, the staffs found that the trigger for the drop of nearly 600 points on the nation’s stock markets was a program initiated by a mutual fund complex a sell program to sell a total of 75,000 E-Mini contracts (valued at approximately $4.1 billion) on a derivatives exchange as a hedge to an existing equity position.
So you can bother responding (twice), but not actually explaining anything. That's a nice little cop-out instead of just saying you can't actually show any significance of what he said. It wasn't exactly a "suggestion" on my part. It was his own words: Have a look at an S&P monthly chart and you will notice that yesterday's high reached and retraced from a point reached only twice before 2000 and 2007. It appears to be forming a triple top. If it does not get through the 1570 and given two past failures to get through at this level, it could turn around hard and fast. At the time, it was right at 1570. So he said, if it doesn't get through this level, it *could* go down. So very helpful analysis. The market's not staying here forever, so it's going to go up or down, and he can claim he's right no matter what happens. Useful analysis would be saying "the market is going through the 1570 and going up" or "the market won't break 1570 and will go down." Not, "if it doesn't go up, it might go down."
I've had the same feeling since last summer. LOL! I recently sold my General Mills (GIS) for a nice profit, which covered my (one share) loss on Apple (AAPL).
The dollar is the official currency of the wealthiest nation. The dollar is legal tender for all debts within the US, public and private. Bitcoin is an anonymous currency that lacks the legitimacy of other fiat currencies currently in circulation.
It becomes legitimate the moment you can use it to purchase goods and services, which is already happening.
Yeah you can use it to purchase goods and services but this thing is so absurdly volatile that you can't reliably purchase and sell anything solely in bitcoins.
If I bought $100 in bitcoins in 2010 it would now be worth $290,918.36 today. I wouldn't touch this bubble at this point, but I sure wish I dropped $100 in it back then.
You could have just started mining coins then. If I remember right there is only a finite amount of bitcoins that can be generate over time where it progressively gets harder to create new coins. In a way it is probably a better investment than a dollar.
This thing sure does continue to surge. Buying the dips continues to work. I'm still trading with tight stops on long positions though. Never know when the pull back will come. It needs a healthy pull back at some point, but who knows when that's coming.
same way you do trading any other currency? Here's a thought, what happens if a government allows people to pay taxes in bitcoins? I don't think anyone doubts there is a Cyprus bubble short term, but long term is another matter. Problem will be if/when transactions in bitcoins are outlawed.
In theory bitcoin "mining" is supposed to simulate gold mining in terms of the time and resources necessary to obtain more. To the point that if you wanted to run the mining software on your home computer, you'd end up losing money on the electricity cost alone.
Need to get on some of these underground hacking sites to see when they plan to DDOS the bitcoin exchanges again. Buy it up then sell before the DDOS. :grin:
Sitting on a tidy little profit with TSLA (bought at $35). I wonder if I should hold long term (which is what I would prefer to do) or temporarily cash out ahead of the inevitable May market correction.
