knight capital Rumors TACGNOL was involved in the knight capital mishap.

Discussion in 'Wall St. News' started by KINGOFSHORTS, Aug 2, 2012.

  1. Rumors were big profits involved during this mess.

    If this is the case, expect to see the investigation end and blamed just on a computer glitch. the Flash crash and 1987 crash was due to TACGNOL and no one wanted to broach the subject.

    So expect to see more unexplained "Glitches"
  2. SamGold


    He FOK them in the bedroom, he FOK them in the hall, by Zeus said the butler... he's gonna FOK us all!. :D

    ***Fill or kill (FOK). If an investor places an FOK order, it means the broker must cancel the order if it can't be filled immediately.

    This type of order is typically used as part of a trading strategy requiring a series of transactions to occur simultaneously.


    ""On Wednesday, the same day that Knight lost $440 million, the NYSE launched its own computer driven trading system, called the Retail Liquidity Program, that the exchange hopes will reclaim some of the trading volume it has lost to market makers. Like Knight, the NYSE's RLP computers use algorithms to figure out when it makes sense to offer a slightly better price than what others are offering, and snatch up stock trades, this time away from Knight and others.

    Knight says the computer problems it ran into had to do with NYSE's new trading system, but it didn't say what. Tellingly, all of the stocks that Knight's computers did bogus trades in were listed on the NYSE. It's likely that Knight tried to upgrade its own algorithm to allow its computers to do an end around the NYSE's new system. But it messed up somehow. Instead, Knight's computer system, launched at the same time as the NYSE's, went on a trading frenzy, buying and selling millions of shares for no reason shortly after both systems were switched on, at when the market opened at 9:30 Wednesday morning.

    Normally that shouldn't have produced any real losses. These weren't actual orders, so Knight's system should have just been buying and selling to itself. But that's not how the world of high frequency trading works. When other traders, i.e. computer systems, saw the spike in activity, they jumped in too."""
  4. hft_boy


    Can somebody please explain what TACGNOL is?
  5. . What a silly thing to post. Knight lost 440 million. Do you think that money just disappeared into thin air? It seems like you do.
  6. someone puts names to all these algos. My guess something more complicated than anything the OP would know anything about. They're like ghost chasers.
  7. hft_boy


    I see.
  8. Regulators investigating. Losses greater than 400M it seems. Looks like Citadel sniffing around. Definitely TACGNOL again in this case it seems. Another victim.
  9. #10     Aug 3, 2012