NexusFi: Find Your Edge


Home Menu

 





Black Swan, Nuke strike if you're long, stops and futures market depth


Discussion in Emini and Emicro Index

Updated
    1. trending_up 2,798 views
    2. thumb_up 0 thanks given
    3. group 1 followers
    1. forum 2 posts
    2. attach_file 0 attachments




 
Search this Thread

Black Swan, Nuke strike if you're long, stops and futures market depth

  #1 (permalink)
 
heywally's Avatar
 heywally 
Pismo Beach CA
 
Experience: Intermediate
Platform: TOS, IB, Fidelity for 'swing' trades
Trading: ES, NQ, IBB, IWM, NG
Posts: 159 since Apr 2010
Thanks Given: 80
Thanks Received: 90

This post is regarding an event that I do not expect to happen, at all. But. There are too many nukes 'out there' and too many terrorists.

I'd like to discuss the worst case scenario of a nuke strike on a major city (say D.C., NY, London, etc) and whether there are typically enough standing bids in the ES futures market to fill my stop market order that exists at let's say, 3% below the market, to sell 5 contracts I am long, before the owners of these bids become aware and pull them and/or, before the markets are shut down. You'd think there would be a hell of an air pocket once you got below a certain price level. Mega-flash crash.

Now, it's kind of selfish of me to discuss being able to leave someone else holding the bag on my position while hundreds of thousands get their flesh melted off but I still will have to put food on the table. Were I short in such a situation, I would ease my mind a bit by contributing to relief efforts from my profits, if the markets reopened and the original trades let stand.

I have the same question in to the CME (about market depth anyway) and we'll see if I hear back. So, I'm trying to find out if there is a way to see historical market depth 3%-5% down on the CME future's contracts then current price.

"The Future Ain't what it used to be"
Started this thread Reply With Quote

Can you help answer these questions
from other members on NexusFi?
Exit Strategy
NinjaTrader
Build trailing stop for micro index(s)
Psychology and Money Management
The space time continuum and the dynamics of a financial …
Emini and Emicro Index
NT7 Indicator Script Troubleshooting - Camarilla Pivots
NinjaTrader
Better Renko Gaps
The Elite Circle
 
  #3 (permalink)
 
heywally's Avatar
 heywally 
Pismo Beach CA
 
Experience: Intermediate
Platform: TOS, IB, Fidelity for 'swing' trades
Trading: ES, NQ, IBB, IWM, NG
Posts: 159 since Apr 2010
Thanks Given: 80
Thanks Received: 90


Undoubtedly a bad thread, destined for the bit bucket.

Several things that would need to continue to trade, perhaps, would be currencies and hard commodities like agriculture and energy, oil/nat gas, maybe precious metals. I don't know if the CME futures markets would selectively remain open, trading these things and not stock index products.

Will update this if I hear back from the CME on the market depth on the ES but my guess is that sizable standing bids don't run very deep down as demonstrated by the flash crash.

Hoping for a peaceful world.

"The Future Ain't what it used to be"
Started this thread Reply With Quote




Last Updated on March 10, 2013


© 2024 NexusFi™, s.a., All Rights Reserved.
Av Ricardo J. Alfaro, Century Tower, Panama City, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada)
All information is for educational use only and is not investment advice. There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
About Us - Contact Us - Site Rules, Acceptable Use, and Terms and Conditions - Privacy Policy - Downloads - Top
no new posts