Cause of May 6 crash found

BS. 75K in S&P Future sell orders would not cause a sell off of the underlying securities and a plethora of securities and currencies not contained in the index.
 
Quote from PocketChange:

BS. 75K in S&P Future sell orders would not cause a sell off of the underlying securities and a plethora of securities and currencies not contained in the index.
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Without the HFTs, this alone is unlikely to cause the crash.
 
Lol... The process of getting a scapegoat to take all the blame for the blatant market manipulation of May 6 with the bailout money from last year...
 
There were multiple factors. First a move in the Yen/Dollar. I don't trade currencies, but the FXY hourly chart shows this spike.

Then the morons at the NYSE decided to halt trading by the specialists for 90 seconds while the ECNs kept trading. This removed almost all the liquidity in these stocks, and even a tiny volume would cause huge price moves.

It appears the emini transaction was the icing on the cake with the associated moves it caused.
 
One thing I noticed is that a lot of solid "dividend" paying stocks had a deeper "V" than some other stocks. I tend to think the May 6 crash was executed by some elite traders.
 
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