Quote:
Originally Posted by Fat Elvis
Trading was halted for 15 minutes to (ideally) slow down the selling. The first circuit breaker was tripped when the S&P 500 dropped 7% right after the open.
The next circuit breaker occurs if markets drop 13% (if I remember correctly); if markets drop 20% in a day, trading is suspended for the remainder of the day. Part of the reason for the circuit breakers is to prevent flash crashes from computerized algorithmic trading.
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Ah. On the commodities there are daily limits that double every day. Which sucks ASS if it is limited and you’re sitting on a position you really need out of. I’m sure this is no different.