I certainly didn't think, don't think, and won't ever think this should be an easy game. But I did study for 6 months first before doing anything, and spend 3-4 hours a night just trying to understand. I have no problem admitting I just don't understand so much more. Anywho... it certainly seems like every time I think I have the basics grasped, and how treasuries, and oil, and housing, and fed meets, and so and and so on affect the basic market, something new always comes up... And I expect that will keep happening to me another 2-3 years. So bear with me. Surely if everyone sold off at the same time and then everyone buys at the same time, something must be obvious to most people that I'm completely blind to this time around, and probably many more.
Who cares why it happens?? Plan some trade setups in advance to try and take advantage if it happens again. You'll never figure out exactly why the market does what it does and you'll drive yourself nuts trying. Just take what it gives you. just my $0.02
i guess you're looking for a good answer, so i'll actually post one Several major brokerage firms (of the Wall St. variety that can afford to build multi-million dollar flow execution systems) set 2PM as the start of the end for their Algo trading models (VWAP, TWAP, Slicer, Liq. Removal, AGGPEG, etc..) So, as 2PM hits, orders sitting in the algo engines begin to start getting executed, as the time horizon for getting the customer a U R DONE 150K XXXX gets shorter.. Customers get plenty pissed at 3:50 when you're telling them via IM that PART DONE 130/150K XXXX AT VWAP... possibly one explanation for what goes on...
I'll take it Chi.... and it would certainly coincide with observations on certain days in the past. Thank you, sir.