Conspiracy theory proven August 8, 2006. Class actions?

[Bitstream]

Quote from Option Trader:

I only lost about $1k from this last monkey-businesses and naturally adjust trading activity to account for this type of stuff. I'm speaking on behalf of the $5 billion I would estimate people lost, if not from this time alone, then from previous times as well.

if u dont mind tellin' us where did u long the mkt?
and did u have a stop/tgt?

 

[Option Trader]

No stops, wasn't even strategizing a trade (which is what I usually do) just tried to hitch a ride when I saw the thing go flying, then couldn't believe my eyes how quick & efficient that reversal was.

As an afterthought, I would imagine they just removed the balancing bids to create panic & havoc.

 

[TheCaracal]

Quote from Option Trader:

No stops, wasn't even strategizing a trade (which is what I usually do) just tried to hitch a ride when I saw the thing go flying, then couldn't believe my eyes how quick & efficient that reversal was.

As an afterthought, I would imagine they just removed the balancing bids to create panic & havoc.

If you have seen other FED days , you would know that the first move is usually a headfake.

That was like any other FED day. The real move usually happens 2-3 days later.

If that first move stuck there would be no thread as another poster echoed.

 

[Option Trader]

Perhaps there should be a list of "practical warnings" in risk disclosure of brokers.

 

[katesdp]

Did you not buy puts?

 

[krazykarl]

Quote from Option Trader:

This is the way I see it. I would love to hear from someone like Rearden Metal:

The stocks were raging forward upon the Fed's announcement not to raise rates with money pouring in to the market. Suddenly, the ENTIRE market did a 180 degree turn and went raging in the other direction. Everyone trying to hitch a ride lost out. Many of those who were correctly shorting the market also conveniantly lost out, as their stop losses were triggered before the reveresal. The ones to benefit were the specialists, who I truly believe conspired based upon the sharpness of the turn, and based upon what type of market they stopped. I believe they made $5 billion in 30 minutes.

actually the only people that lost out were the ones with bad stops. you had 2 exit points within 10 minutes regardless of which way you were playing. long - exit on the pop, short, exit at the close.

the ones who lost out got greedy.

 

[Option Trader]

I don't know why you're apologizing for the specialists. I don't think they're your friends.

 

[HolyGrail]

All I know is I was short before the announcement and short after the announcement. None of my stops were hit on any position.

 

[ksonsinc]

You,ll should know that this market is full or manipulaton by the big boys
If u r so smart why did,nt you hedge by going 1 long and 1 short.
Es long ym short or ym long and es short and hen trade acourding to the situtation

 

[QQQShort]

Quote from Option Trader:

I don't know why you're apologizing for the specialists. I don't think they're your friends.

Which raises the question, "Who are our friends in the trading business?".