Knight Securities loss of $440 million this week was attributed to a "glitch" in a new trading software release. Rumor has it that a disgruntled computer took over, hid or disabled the abort button, and sent out massive market orders causing the firm to lose $10 million per minute for almost 44 minutes, putting Knight into almost instant insolvency. The term "glitch" according to Webster's dictionary, is deemed to be "a minor or temporary setback", not a potential death blow. This categorization of Wall Street incompetence is reminiscent of the recent JPM trading loss of what is now over 7 billion as it was initially referred to as "Tempest in a Teapot" by Jamie Dimon, one of the worlds most highly regarded CEO's. Continue reading "2012, A Trading Odyssey"
Category: General
Chart of the Week
Each week Lo
ngleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.
Gold Market for the Week of August 6
If ever there were a week for traders to be excited about a directional move in global markets it should have come last week. Leading up to last week's news, markets finished strong in anticipation of favorable news from multiple central banks, most importantly the United States and the ECB. Mario Draghi released a statement suggesting he would take any and all measures necessary to protect the Euro, and his statements were later Continue reading "Chart of the Week"
Monday Morning Index Commentary
The September NASDAQ 100 was higher overnight after Greece and its creditors agreed on the need to strengthen policy efforts to support growth. Stochastics and the RSI remain neutral to bullish signaling that sideways to higher prices are possible near-term. If September extends the rally off July's low, the May 4th gap crossing at 2686.50 is the next upside target. Closes below the 20-day moving average crossing at 2602.66 would signal that a short-term top has been posted. Continue reading "Monday Morning Index Commentary"
Stocks May Move Modestly Higher In Early Trading
(RTTNews) - After ending last Friday's trading sharply higher, stocks could see some further upside in early trading on Monday. The major index futures are currently pointing to a slightly higher open for the markets, with the Dow futures up by 11 points.
The markets may continue to benefit from the positive reaction to last week's monthly jobs report, which showed much stronger than expected job growth in the month of July. Continue reading "Stocks May Move Modestly Higher In Early Trading"
US futures rise; Knight Capital gets lifeline
U.S. stock futures are riding the tailwind of the most recent job figures higher and global markets are rising as well.
Dow Jones industrial futures are up 14 points to 13,069 and the broader S&P futures added 2.8 points to hit 1,391.80. Nasdaq futures are up 11.75 points at 2,682.75. Continue reading "US futures rise; Knight Capital gets lifeline"
