COCO fiasco today is unbelievable. NASDAQ has sunk to a new low after allowing the stock to trade before the busts were finalized. Reminds me of the time a disgruntled NITE employee sold lots of shares at approximately $1 a year or so ago. At least that was the story. These screwups will happen every once in a while. Just avoid them or do what other people did - trade related stocks instead.
What I find ironic is the fact that you would have been much better off being short rather than long going into the halt. When you covered after the halt, you were actually initiating a long position, which you could have sold later for a higher price.
I was actually short CECO @ 38 and the thing droped to 33 in about 10 seconds. Covered @ 35 (very fast recovery). So the COCO fiasco actually helped me. Got Lucky
Exactly, the funny thing is that the people who screwed up and were on the wrong side were the ones that benefited from it. So a guy in our office was short, covered when ARCA opened at 45. So he basically initiated a long position and took it for 10 points to 55. Talk about a reversal in fortune. I don't trade NAZ at all, but have played around with CECO and COCO the last couple days....damn that is some FUN stuff. Was free money for about 15 minutes on ARCA before it opened again, then bang...I lost it in the 3 pt squeeze at the open. And SORRY for all those that got their asses kicked today. Completely unfair and ridiculous.
Now did the ARCA trades during the halt actually stand? I made a point to avoid trading it because I thought for sure they'd get busted.
Yes, they all stood. We called ARCA when we saw the first print and they informed us they had permission to open. So the guy that was short jumped on the 45 something and those of us that were flat took it for a ride. Even after our guy talked to ARCA, still was thinking they were going to be busted. Once again, sympathies to all that got whacked in this today..total BS.
So to sum up...you're rewarded for being wrong about the direction of the stock, punished for being right, and the only way to make sure your trade didn't get busted was to trade WHILE the stock was halted.
I usually trade without news and suppose I need to use it. Just wondering what some of you used for alerting you to the COCO down volume? Thanks