nice spike @ 15:05.. perfect example-there is no liquidity on these markets. i was watching IWM 1.5% move on 2.5M shares in 5 min.. all those ' liquidity providers' are gone..
Spike was due to report saying central banks helping out Europe. But all the gains have been given back. Don't know if maybe it was a "planted" rumour.
i know..i short the sucker @ 76.4sh and did cover it already. the point is that it's so easy to move such liquid ETF these days. central banks are 'ready to make the move' to help greece..i really don't get this greece thing..the whole country is smaller than a f** paris and half size of ny..
Today's action is one reason I only use stop limit orders and limit. If the market is moving too fast to fill me on entries, then I will just wait for the next trade to come along. If I need to sell at the market on an exit and I don't get the greatest fill, well, at least I am out. Probably the safest assumption to make is that there won't be liquidity when you most need it. That seems to just be the reality of these markets.
Why would liquidity providers stay in there? The euro broke past resistance at 1.262 and spiked -- looks like lots of people were stopped out. The point is, when the euro spikes, everything spikes; nobody wants to stay in and take that kind of risk.
id have to go back and look at a time/sales history but it looked as if the spy was moving up in 3 cent increments during that spike at times on my level 2