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[James Quillian]

I don’t know, I may be the last bear standing, not counting any new ones since Friday. Derivative and high frequency trading volume are often cited as providing liquidity. Liquidity in the stock market requires that stock changes hands. I don’t know of a time when actual stock trading has been as thin as it is in these times. Liquidity has never been lower. On any given day, crashes are an unlikely probability. The fact that the market is so thin increases the odds enough to warrant putting a crash possibility into trading plans. I have added some long SKK and VXX in addition to my regular short positions. I would hold VXX as hedge, even if I was long. What will happen, if because of changing circumstances, the practice of buying derivatives and then creating value in them by pushing stocks up becomes unprofitable? Without affirmative action manipulating prices higher, there is only one direction left.

Edited by James Quillian, 27 January 2014 - 10:51 PM.