Nanex ~ 13-Sep-2012 ~ SPY Intentional Bad Tick?On September 13, 2012 at 12:16:01, approximately 15 minutes before a very important FOMC Meeting Announcement, a price spike down appeared in SPY. Upon closer inspection, this price spike may have been intentional. It consisted of 2 trades, one sent to the CBOE, the other to the NSX (CINC), and both trades were marked ISO which is a special code used only by High Frequency Traders which essentially means "do not route this order to another exchange regardless of better price". Now why would anyone be willing to sell SPY for significantly less than they could get at one of the other 9 lit exchanges? See also SEC Santioned Trading in SPY . |
