I've been robbed

[ko_]

On May, 6 I've bought 1000 shares of PWV for $0.20 and sold them for $12. My profit was almost $12k. As you know next day such positions was canceled. So instead of profit I had short position for $12. I had to cover it for $17. My balance is__ $ -5K._
Is there anybody who lost money by this way?
What do you think about suing?

 

[Petsamo]

Quote from ko_:

On May, 6 I've bought 1000 shares of PWV for $0.20 and sold them for $12. My profit was almost $12k. As you know next day such positions was canceled. So instead of profit I had short position for $12. I had to cover it for $17. My balance is__ $ -5K._
Is there anybody who lost money by this way?
What do you think about suing?

I'm sure there's a lawyer out there who's handling the class action lawsuit. Find him.

 

[number22]

This is the very essential side effects of canceling trade, a little guy come in and provide with his limited liquidity and then screwed up by big boy. I felt your pain, wish you the best.

 

[efficiency]

Quote from ko_:

On May, 6 I've bought 1000 shares of PWV for $0.20 and sold them for $12. My profit was almost $12k. As you know next day such positions was canceled. So instead of profit I had short position for $12. I had to cover it for $17. My balance is__ $ -5K._
Is there anybody who lost money by this way?
What do you think about suing?

It should come as NO surprise a fill at a ridicuous price was busted.


You have no complaint hence a suit would be pointless.

 

[ChkitOut]

The lesson here is if you get into position at some ridiculous price that traded at that level very briefly on some crazy market action, HOLD ON TO IT. Do not close the position.

 

[dtrader98]

Quote from efficiency:

It should come as NO surprise a fill at a ridicuous price was busted.


You have no complaint hence a suit would be pointless.

In all fairness, they should bust both sides of the trade. I.e. anyone who bought long and had the trade busted should have the corresponding sell busted as well. Assuming OP scenario is true, there is a very valid complaint here.

Maybe I'm missing something, but I don't see why it would be so difficult to match up any round trip positions during the bust action (FIFO) and invalidate them.

 

[Wayne Gibbous]

Unfair? Sure. The markets have never been fair.

It's all a part of trading. Nobody will take as good care of your money as you will . The same thing happened to me several times. Experience is a wonderful thing. Now when I experience a similar situation, IOW, a trade that appears "too good to be true", I wait always thinking it could be busted.

Chalk it up to education and forget about it. You got off cheap.

Good trading to you and I hope you do better in the future!

 

[Wayne Gibbous]

Quote from dtrader98:

In all fairness, they should bust both sides of the trade. I.e. anyone who bought long and had the trade busted should have the corresponding sell busted as well. There is a very valid complaint here.

Maybe I'm missing something, but I don't see why it would be so difficult to match up any round trip positions during the bust action (FIFO) and invalidate them.

I used to think the same thing. But if you consider how there may be a very long chain of trades connected to the first one, where do you draw the line? The poor schmuck that bought the OP's stock isn't at fault. He may have sold it again, etc...

No easy solution I guess...

 

[joe4422]

Really sorry to hear that. I think that's such an interesting story that you should call up Fox news or another news channel. You might just get invited on the air, and you might just help yourself and others who were screwed.

 

[forsalenyc]

accept it as an expensive lesson. I feel for ya, but there isn't much you can do about it.