Why Has a Stock Not Been Halted To The Up Side? (NUE)
More circuit breaker shenanigans on the heels of my post covering High correlations via computers. NUE was halted this morning as a huge order slammed the book to .01.(ZeroHedge has an interesting angle on this story as well)
Title answer…No real people want to buy stocks that’s why stocks are not halted to the upside.. NUE was under pressure and someone simply jumped the gun or said “i want out” at the market…At the time this person wanted to get out the only thing trading was wacky algos which are easily confused with high volume situations. When are we gonna have a stock explode to the upside and subsequently halted! probably never.
The hundred-shares-for-a-dollar trade triggered a so-called volatility trading pause, because it meant Nucor stock moved more than 10% (more like 99.9%, actually, but who’s counting) over a span of five minutes.
“The NYSE spokesman said the bad trade took place on the CBOE Stock Exchange, or
Update: A spokeswoman there offered this account:
CBSX received a large order for NEU.
CBSX filled what it could (best price at the top of the book), sent the balance of the order to sweep the other exchanges for the best price.
Some of the shares could be executed on other exchanges, some could not.
The balance of the order came back to CBSX (the originating exchange) and exhausted all interest in the CBSX book down to a penny.
The “clearly erroneous” trades were busted.”