May 6, by James Sogi
May 6 was the big swoosh with the bid jammers jumping the inside market and gaming the system closing right around 1122. Undoubtedly a number of stops and margins were triggered and the move cleared out a lot of the book. What effect would that have on the second try at this level, if any? Or would the recent action be the legacy of the move and its effect is over? If the book was cleared, there would be more volatility for a given volume of trades and we've seen higher volatility recently.