This will be a revelation, of a collapse...
Today's asinine valuations are an algorithmic fabrication. Low volume and low volatility enable the illusion...The Dow has become a symbolic facade, like the Berlin Wall. The second derivative is advanced collapse, while the facade provides the illusion of stability...
Today's asinine valuations are an algorithmic fabrication. Low volume and low volatility enable the illusion...The Dow has become a symbolic facade, like the Berlin Wall. The second derivative is advanced collapse, while the facade provides the illusion of stability...
(Via Zerohedge), Yesterday, the world's largest energy stock got stuck in a 2 cent range for two hours by some errant algorithm. This is the casino in a nutshell...
"Deja vu is a glitch in the Matrix, it happens when the machines change something..."
The marginal transaction determines the "valuation" of all of the shares. Solution: reduce volume and volatility to a minimum, to generate momentum. "Deja vu is a glitch in the Matrix, it happens when the machines change something..."
Most of the institutional selling has already taken place. We're only now waiting for the panic selling that will elevate volume and volatility and jump the facade.
Institutional selling via sector rotation has exacted a heavy toll...
Price / volume:
Selling alternates between heavy and light to maintain the illusion and keep Etraders from panicking until they've been fully milked...
NYSE Volume moving averages (50 and 200 day):
Even during this rally net money outflow has continued...
Low volatility masks extreme risk...
Small caps indicate a level of damage beyond 2008, as the 200 day is only this week taken back...
