What really happened with BATS execution?

Good point.

It's all so similar to the flash crash reports that I am wondering if this attack could have occurred on another exchange post-flash crash or only at BATS due to bad circuit-breaker logic.

http://www.minyanville.com/business...g-wonderland/6/30/2010/id/28982#ixzz1qzCyL2M6

But ISO trades can also be used for more nefarious predatory trading tactics such as combining ISO with short selling to suck liquidity out of an illiquid/troubled market or security, or fine-tuning an attack on a known weak hand or anticipated liquidation.

Both the NASDAQ and NASDAQ-BATS declared self-help against NYSE-ARCA in the minutes preceding the flash crash. Was that the equivalent of “blood in the water” alerting predators of weakness?
 
If there's not a lot of strength on the bid side, then why would anyone post there?

Just wait, and buy later, at a lower price.

...

If there's no interest in a product at a store, come back later when it's on sale.

No conspiracy.
 
Quote from Options12:

Couldn't regulators investigate the origination of the ISO sell orders and identify who engineered this attack?
More...

I doubt it was anything coordinated. Just a bunch of good old boys ready to get shorties with 50 cals the new market couldn't possibly have handled.
 
Quote from Options12:

Couldn't regulators investigate the origination of the ISO sell orders and identify who engineered this attack?
More...

The other problem is that I've never heard of such investigations, and I believe they probably would have publicly announced this rather than blaming software.
 
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