How to flash crash/spike a stock?

S

Sanaz3

We have heard enough about the recent flash crash of the market, but what about a particular stock? Does simply placing a big 'buy order' or 'sell order' at the market price cause it?
 
Quote from Sanaz3:
....simply placing a big 'buy order' or 'sell order' at the market....
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1) It would depend a little on what the day's trend of the stock/market is. To attempt to execute a "large" sell-order in a declining market would be more likely to cause a flash-crash.
2) To attempt to execute a "large" buy-order in a rising market can feed the rally but probably more slowly. When the order is filled, the stock would become vulnerable to decline without continued buying after a substantial upside move. :cool:
 
Quote from Sanaz3:

We have heard enough about the recent flash crash of the market, but what about a particular stock? Does simply placing a big 'buy order' or 'sell order' at the market price cause it?
More...
You need level II quotes (how many shares are available to trade at each price level).

Then you spot a moment of low liquidity, and IMO a limit order (to buy above the quoted market price, or to short below the quoted price), is more effective than a market order.
 
Quote from munnyhunny:
....an escape route planned to a tropical country with no US extradition treaty.
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?..... ! .... you're considering doing an "Airport Arbitrage" or "Rio de Janiero Spread"? :confused: :eek: :D
 
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