Looking for ways to back track evidence of manipulation in the trading or SPX options, ES Futures, or VX Futures to cause the spike that destroyed the vol ETFs (XIV, and SVXY), and caused small investors to loose millions.

What kind of market data would be needed to piece this together and where to get it we get it?

Please help restore order to the markets. If these guys/girls get away with this, they can do it anytime. Next time it could be your account. TIA

  • $\begingroup$ It wasn't manipulation so much as a feedback loop created by the vol ETPs. The price data you are asking for is pretty comprehensive. IB or BBG if you have it are good places to start. $\endgroup$ – HK47 Feb 8 '18 at 17:16
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    $\begingroup$ Spelling comment. "to loose" = the opposite of "to make tight". "to lose" = the opposite of "to gain" $\endgroup$ – noob2 Feb 8 '18 at 20:01
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    $\begingroup$ The “investors” were manipulated into thinking they were geniuses for shorting vol in a vol bear market, until it reversed. There is no manipulation anywhere else. $\endgroup$ – Ivan Feb 8 '18 at 20:01

The acceleration in buying volatility itself between 16:00 and 16:15 was in partly due to the XIV and SVXY instruments themselves. They need to re-balance their holdings before 16:15 every day. Since of the velocity of the trading prior to close, they had to buy millions of dollars of VIX futures to delevrage and equilibrate their positions which almost doubled in size.

I understand this is frustrating but the same result would have been hit if had shorted VXX in a margin account. When the value of your VXX short doubles, you are left with nothing (and your broker will automatically sell your position through a margin call).

With regards to your question on who can help you analyze the tape in different securities to check for manipulation: Right away I'm thinking of Eric Scott Hunsader from Nanex LLC. He was a key player in doing the same for the flash crash in 2010.

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