@Mochy2020sometimes its as simple as people having bought on recommendation of broker and dont like immediate after action. it isnt unusual for people with a fair amount of money to not be technically skilled and panic. think of all the clients who sell houses and ask their brokers where to put the money
sometimes its as complex as funds needing to reweight their holdings when market cap of a stock falls.
but tbh it felt to looks like a fair degree of this is euroz. that wall built at 1.8 that then got reversed after others lined up behind the apparent order queue is classic broker shenangians. when a broker bails themself/key clients out after a raise - it cracks the dam. thats classic sell to buy imo
i could be wrong on that. but thats my current view
and behind all of that is the market marker systems that are designed specifically to flood the market with liquidity on plunge days - their bots keep spinning out hits on lower sps specifically to induce panic
doesnt mean it wont go lower etc. but as i said the other day - you cant trust market action anymore with hft - because its specifically designed to fool human psychology.
you have to trust fundamentals and technicals
thats why posted that chart this morning - so people can judge for themselves and hopefully - if they havent already developed any technical skillsets - it helps you understand how useful they are
technicals improve your investing not because it makes you always right so much - although it helps those %s a fair amount - but by helping you be rational and not panic
