NASDAQ's disgraceful act involving FB IPO

Discussion in 'Trading' started by forsalenyc, May 18, 2012.

  1. Why would the hft people do something so stupid? They know they are going to blow it for themselves!

    Unless if the losing hft people are doing this to crash the industry as revenge....... :D
     
    #31     May 22, 2012
  2. You indicating that Nasdaq "faked" the whole software problem ? Hard to believe. Once again, just like BATS, the software should have gone into into contingency mode when order flow is one-sided.
     
    #32     May 22, 2012
  3. Exactly. Those who plan to hold long-term now have an opportunity to improve their average prices. Either FB will go up many-fold like GOOG or it won't, but in either case no one 5- 10 years from now will remember its first few days' trading... Neither the underwriters nor NASDAQ owe wannabe-flippers a living...
     
    #33     May 22, 2012
  4. Well here was an opportunity for the Nasdaq to use this new matching engine, specifically developed for IPO's, and they just blew it off. They could have imposed this cancellation limit within their software easily. 100 quotes ? I would have made it 10 at most.

    Shear stupidity at play here by an entity that has obviously has monopoly control. Are heads going to roll ?
     
    #35     May 22, 2012
  5. no sir , I feel they had a software
    problem , just NOT for cancels and
    cancel replace ...... it was because
    they had toooo many SELL orders
    and are stroking little Zuckerman's
    ego ..... why would anyone plunk
    money down on a company run by
    a 28 year old without ANY experience
    running a million dollar company , much
    less a multi billion dollar company ...
    not to mention the fact he went and
    got married just in time to give bride
    1/2 his worth ./....MAYBE she is the
    brains behind him ....
     
    #36     May 22, 2012
  6. Bison42

    Bison42

    You can buy all the FB you want today!! Cancel,replace,sink or swim. Doesn't matter. This is a Fad. Unsustainable.
     
    #37     May 22, 2012
  7. When that occurs, the software just starts slow the flow of orders that's all as it drops the ASK price in a very controlled and methodical way. It does not match orders without sending the fill confirmations (that is what happened). It keeps all cancellations LOWEST Priority....and ignores them when the per-trader limit is reached.

    Heck, I could have written this software better than the monkeys who obviously didn't account for this one scenario. It's actually two scenarios....the same thing would have occurred had FB gone to 100.
     
    #38     May 22, 2012
  8. On the flip side, after waiting for 90 minutes or more, we had traders who had paid about $42.50 - and then later tried to cancel (with no reports back on either, the order or the cancel) - were given outs when the stock was back down to $38.00.

    Gotta win sometimes, LOL.

    Don
     
    #39     May 22, 2012
  9. That's what I heard.....traders who bought above $42 were forgiven. Not all, but some. Irony if you want to call it.........to reverse the executions at $42 would means Billions of $$$$
     
    #40     May 22, 2012