Keep reading for the trade idea on how to profit from others chasing TWTR-based momentum mistakes.
Courtesy of ZeroHedge. View original post here.
Submitted by Tyler Durden.
With the TWTRQ bankrupt pennystock fiasco dead and buried (courtesy of a ticker change) many thought the algo trading issues surrounding 2013's TWTR mega IPO were resolved. Maybe not. As the chart below shows, TW Telecom briefly soared tenfold as yet another algo went berserk, sending the price from $30 to $300, and the market cap from $4.4 billion to $44 billion.
The trade was so grotesque even the exchanges noticed:
- NASDAQ PROBING POTENTIAL CLEARLY ERRONEOUS TWTC TRANSACTIONS
So aside from the obvious trade screw up, one wonders: was this just another case of mistaken ticker identity euphoria. After all TW Telecom's ticker: TWTC. That of Twitter: TWTR.
And if so, now may be a good time to put on limit sell orders 20% above the NBBO in all other permutations of TWT_ tickers.
