dnadig

5 ms·

1. 1.▲
   by dnadig 11y ago

   SHO limits don't apply to bona fide market making, I'm nearly certain. But regardless, you would expect the inability to short by non-MMs would actually keep ETFs and Stocks from hitting their breakers, not making it worse. By de
2. 2.▲
   by dnadig 11y ago

   Since ETFs are derivatively priced, it's irrational on the face of it. If I sell you a bundle of 100 $1 bills for $50, it's irrational. ETFs are wrappers around stacks of stocks.
3. 3.▲
   by dnadig 11y ago

   A stop with a limit is perfectly fine. It's essentially saying "If the stock trades below X, sell it, but not unless its above Y." So if you bought at 80, its now at 100, and you want to make sure you make some profit, you
4. 4.▲
   by dnadig 11y ago

   The single stock circuit breakers were put into effect after the 2010 "flash crash" and they're designed to "let cooler heads prevail" when stocks or ETFs go wonky. The problem is that in a real panicky freefall, i
5. 5.▲
   by dnadig 11y ago

   Well, plenty of traders are out there selling without actually owning -- that's something market makers and only market makers are allowed to do, and it's certainly possible that market makers algos were selling too low along with