GBP???

What just happened?
News?

Comment by French president Hollande:

'Britain must suffer the consequences of leaving the EU to avoid EU existential crisis' (According to John Kicklighter, DailyFX)

This triggered an HFT Flash Crash on thin liquidity during Asian markets.


Think the market should retrace to levels before the drop.

Thanks for the info. I agree, it should most likely retrace. EU is done anyway. Just a matter of time.

Now we wait for the deluge of complaints from the managed accounts that failed.

Everyone wants to share the profit, no one wants to share the losses.

theHand posted:
Now we wait for the deluge of complaints from the managed accounts that failed.

Everyone wants to share the profit, no one wants to share the losses.

 Very well said. I sure have not seen anyone who has made even 600 pips from that drop of GBP/JPY but I sure have seen many margin calls. They made the spread like 550 pips. so trust me the spread alone would of closed the sellers, as they need to get out on the ASK price which remained near where it dropped! That is how the market can hit brokers hard or the brokers who bet against their clients can get manipulated very easily!

Great Q... guess we'll find out in a bit

Wow what a move on Eur/Gbp if that was a mistake it should pull back down to 88 levels again,saying that traders act foolish after times like this,wouldn't surprise me if it shot back up.Anyway I think HFT on thin liquidity,there was chat during the week of a huge short position on Gbp.

:) unreal fall around 1000 pips for a two minutes

They obviously needed to get some lower positions; so do it before the Asian session when it's cheaper to do so- watch it go up from here....

https://www.bloomberg.com/news/articles/2016-10-06/pound-plunges-6-1-percent-in-biggest-drop-since-brexit-result

flash crash / Sterling is Cheap right now .

I had 4 open positions to the short side that saw my account grow 40% just on the move !!😄

I was drinking whiskey celebrating at the time, my gfs 10k profit on oil.

snapdragon1970 posted:
I was drinking whiskey celebrating at the time, my gfs 10k profit on oil.

Why would you bother typing it if you have no proof of it?

ill take a screen snap shot later,just for you,whats even more amazing she did it with a small account,no experience ,just got some pointers from me,but I don't trade oil.

snapdragon1970 posted:
I was drinking whiskey celebrating at the time, my gfs 10k profit on oil.

Congratz to her! Well done.

I'm also not a fan of black gold (too manipulated by OPEC), more a gold & silver fanatic 😁

Does anyone know why this actually happened?

:) someone drink whiskey others will jump from 8th floor :) this flash crash kill a lot of traders accounts

mlawson71 posted:
Does anyone know why this actually happened?

Pure speculation everywhere.

1. Asia scare on news of possible hard Brexit.
2. Algorithmic trading going haywire on low volumes.
3. Gold finger tycoon (a George Soros of Asia type event)
4. Nigel Farage had a nightmare (not really, but may as well throw it in)

Seems nobody knows, or will ever know exact reason, and every definitive answer is a variation of speculation noise.