Will zero commissions lead to sharper sell-offs?

[southall]

Dumb money will be averaging down in a big decline. Then getting margin calls as prices continue lower.

 

[ElCubano]

Zero commission is probably an indicator that we are or were at the top.

 

[Cuddles]

Doubtful for your long time investor, traders who aren't habitual shorters may however.

 

[Scataphagos]

I doubt it. Think about who zero-commission really benefits...people making small trades...small accounts...small money. But maybe it adds up...not sure.

Yes. And frequent trades/scalps.

"Zero Commish" won't affect greed or capital preservation.

 

[TommyR]

i pay about 25% of my profit in commission. its only about 150 gbp a day. for example today so far its like 75 quid.

 

[d08]

We need a 1999 style participation of retail for it to have any effect.

 

[congrats]

I think the bots without proper machine learning must have started sell off. And along with high beta stocks, rest of the market got into panic sell off.....that might have caused users with zero commission to continue sell off.....cascade effect.