Monday, August 13, 2012

ES Manipulation

This ES chart is out of scale, but these are the divergences from today. In to the close 3C was already leading to a new low, in after hours trade, it led even lower, there was a very brief, small round of accumulation just before ES jumped 0.5%.

More from ZeroHedge:


Asia opens loud and proud and announces itself with a subtle 'buy-every-single-contract-in-the-stack-coz-I-am-desperate' algo grabbing 7000 contracts in S&P 500 e-mini futures (ES). Nothing else moved, just ES. Now a few things are reacting but the total lack of news and sheer ignorance of unloading that much into an illiquid thin market at this time of day suggests this market is more broken than we suspected. Also, since the move is identical to what a certain Bruno Iksil would have done back in March with IG9, when he would sell through all the bids, only this time in reverse with equities, we wonder if the "water walking" Frenchman may not have already found his next port of call.
Note the total lack of follow-through in any othe risk-asset...
ES is the only asset to move, no move in gold, treasuries or the US Dollar Index, as a 6-7000 car trade grabs everything in the stack and lifts us 6 points higher on a 'stop-run'...

It looks like pure manipulation to me, I'm guessing this was a stop run as ZH said, I also suspect the move was sold in to. It should be an interesting night and tomorrow.


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