Discussion in 'Wall St. News' started by cole_, Feb 6, 2018.
Great points beefcaketrade.
How is this guy trading in American markets when he lives in singapore? I would argue this guy is one of the people responsible for the market crash and should be investigated for fraud.
I don't know if this story is true or not. But assuming it is:
He made few thousand percent gain in 3 years. Did he really think he found a holy grail, a license to print money? The only way he could make those returns is using options and excessive leverage. With the risks he took, it was just matter of time till he blows his account.
To respond to someone who asked about stop losses - if you use options, you cannot trade after hours. And all the action happened after hours.
XIV behave exactly as designed. If you don't fully understand the instrument, don't trade it.
I use OCO orders with a trailing stop limit and a trailing market stop way behind the trailing stop limit (in case the trailing stop limit doesn't fill in crazy times). Not sure how smart this is, but it would protect me if shit goes real bad.
I've heard from a couple others and would like to confirm here if possible that in this xiv acceleration event, a stop limit would not have kicked and saved an account during the AH drop? Especially if you are with a broker that does not trade after hours.
True or bologna?
Stop loss wouldn't help in this case.
The only way to control risk in this case would be proper position sizing. Or hedging.
Doing something like this - The Incredible Winning Trade In SVXY
I don't see why it wouldn't kick in. It may not fill, but should kick in, unless the broker screws something up. never had to deal with a drop like this yet.
If it`s any consolation,,,,
he lost 6mln$....
Is this supposed to be sarcasm? I don't get it. You are aware that US markets are not limited to US residents, correct?
Obviously. Why ever entertain obvious trolls?
Next he might start a thread telling us he lost $5M on XIV.
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