DislikedIts retraced 525 points already... I am not doing a darn thing until after tomorrow. Too much madness. Elections, NFP friday...Ignored
Because the dow is a price-weighted index, such a move in one of its underlying components could cause the entire index to reprice lower. Once that happens, everyone's stop-losses get hit, the computer pile on to sell more and then once the problem is fixed, it reverses the other way. That was why i made my pithy comment about "high frequency trading".
That move went through the 50, 100, and 200-day Moving averages... how many systems traders incorporate some sort of MA logic into their methodology?
Anyway, ugly move...While the ECB sleeps