As we were reminded on Monday, all of the recommendations emanating from the 2010 Flash Crash were ignored. Wall Street's stooges in government doing what they are paid not to do. The stoned Idiocracy took this latest meltdown as a buying opportunity...
Following the Flash Crash of May 6, 2010 investor confidence was shaken. Congress launched an inquiry, books like the one above were written and nothing changed of course. The Idiocracy doesn't believe in accountability. This year, they finally arrested a single day trader living in the basement of his parents' London home, because he alone caused a $1 trillion dollar meltdown.
The even bigger Flash Crash that just occurred on Monday, just led to buying recommendations all around.
First, remember this from last Thursday?
PonziWorld: Aug. 20, 2015
Fast Money: Aka. "No Bid Market"
When institutions are selling at the fastest rate ever, shit is destined to go sideway to down...
And this from last Thursday as well
Fast Forward to Monday this week:
On Monday, the QQQ Nasdaq 100 ETF, the sixth most heavily traded ETF by volume, had its widest 1 minute price swing EVER -15%:
The world's largest stock flash crashed by the same amount...
What next? We can see from 2010 (below), what happens next...
The market rallied for five days and then rolled over again...
Which is Monday relative to this current "buying opportunity". The difference being that institutions are selling at the fastest pace ever right now...
A couple more things to think about...
This took place yesterday, just prior to Bill Dudley's "unscheduled" interest rate announcement:
Goldman Sachs always knows something.
Don't they?
