Trader Makes Huge Bet of 11 Million Something Bad Will Happen Within 60 Days...

Originally posted by spy66

Originally posted by zedVSzardoz
reply to post by hawkiye

 

I would remind everyone how appearing to have "inside knowledge" can be used to make everyone panic and so dump all they are worth. Then the same person making the artificial panic buys it all up.

Happened in England after Napoleon was defeated and they thought he had won......

Yeah, it was Mr Rothschild himself who did it that time.
That particuler stunt made him filthy rich and to big to fail.

And that was the way he got controll of the central bank of England

reply to post by DarkSarcasm

Like I said I am not stock market savvy, I am a maintenance man for a rather large appliance factory that everyone loves to hate , so the technicalities of what you just said are rather lost on me but I can understand the debt ceiling debate playing a part in the stock market and from my perspective anyone risking this sort of money is either insane, has inside information or is trying to trigger something to happen. There is obviously a motive behind it ...

the fact anyone or even any company can do that is just a testament to the greed that is bread into our society and the complete ignorance of morality and ethicality that a CIVILIZATION should exhibit.

This I can understand and totally agree with, where we go from here I do not know. Personally I wish we could get out of this stranglehold we have found ourselves in and break free of the bankers and corporations that own us and reboot our system, the reality is as George Carlin said "You and I are not in the big club" and it probably will never happen.

Originally posted by DutchBigBoy

Originally posted by spy66

Originally posted by zedVSzardoz
reply to post by hawkiye

 

I would remind everyone how appearing to have "inside knowledge" can be used to make everyone panic and so dump all they are worth. Then the same person making the artificial panic buys it all up.

Happened in England after Napoleon was defeated and they thought he had won......

Yeah, it was Mr Rothschild himself who did it that time.
That particuler stunt made him filthy rich and to big to fail.

And that was the way he got controll of the central bank of England

Correct.

It is odd he managed to keep hims slef alive after pulling a stunt like that.

Originally posted by orangutang
its highly probable that these people know the crash is coming because they are the ones that engineer it. and i'm sure they have done it several times before in order to get even more filthy rich at the expense of others.

only one star for the right answer

make that two (1 off me)

reply to post by spy66


Not so hard to believe really, it is the same now as it ever was ... Money is power. We like to think the power is in our voice, in our vote, in our numbers, in our beliefs but the truth is that it isn't. Maybe once, there was a time that there was power in those things but those days are gone ... long gone. In fact we have never experienced those times we have only read about them.

Money is power and is used to gain control, buy off and corrupt pretty much everything in our lives and how Mr Rothschild did what he did and how his family and friends "the big club" continue to do it to this very day and truth be known the story in the OP was probably done by someone either in or trying to be in "the big club" as a demonstration of that power ... Same story different century.

I too am not market savvy, but have recently seen it stated that the US is artificially propping up the market, and that if you took out the government based options, the market was more realically around the 3,600k mark. In other words, really low.

If thats the case, the this artificial propping is identical to what happened prior to the last crash, when the market under Bush was just above 14k, an area we are "breathlessly" waiting daily to regain.

Looks like anyone (Soros, Gates) with some money to throw around wouldn't mind hedging that someone is going to allegedly "fat thumb" it and pull the same "trick" again.

How much can they get before the emergency shut down happens? Wasn't it 500 billion last time? Untraceable, unaccountable, lost? Moneymarket funds that vanished.

Poofies. If I had some millions, even billions, I would be betting, too. But, billions would be too obvious. Only a few people can/would do that.

Given the fact that members of Congress have long been guilty of insider trading and the fact that there are 3 times as many lobbyists in Washington since the current administration took office, I would say something will happen and the elite have foreknowledge of it.

reply to post by hawkiye


I don't think 11million is much to these people. When I worked in finance and dealt with hedge funds, 11 million was a fair amount but not huge, and I worked for a boutique firm. I wouldn't worry so much about this one.

What's $11 million to a billionaire. It's like an $11 bet to us

America is not a country, it's a business... Something is up... why risk 11 million in this roller coaster economy? unless you've got hundreds of millions coming out of your butt. which this may be the case but still, something isn't right.

This trade was most likely to protect another long position. Let's say you have $500 million in stocks. By spending $11 million he has pretty much insured himself from losing too much if the market goes down. If it continues to go up this trader just makes a little less.

Caught this link in another thread.

Massive Option Bet Against Bank ETF

According to Barron's columnist Steven Sears, someone made a big bet against the financials ETF yesterday (ticker symbol XLF), and it has everybody buzzing. The trader bought 100,000 put options on the ETF

Here's a link to the options chain for the XLF
From Yahoo Finance

I know options are extremely versatile in the ways that you can use them, and I know it could be some type of spread strategy or even someone caught them mispriced and jumped in to make some money, but if you look at expirys out to April there is some pretty unusual open interest. It looks bearish to me, but there are strange amounts of OI on both the call and put side which leads me to believe in some type of spread/straddle strategy. That's for the February options that expire in two weeks. Looking at March and April, the OI is decidedly stacked to the put side (bearish).

So we have noticed and reported on big bets on a vix rise and big bets against the bank ETF out to April. Assuming it's not a complex options strategy, or some type of hedge, I'd say that someone with deep pockets is betting that something bad will affect the overall market (bet on the VIX that measures volatility) and especially the banks (options activity on XLF) by April 19th.

Strange option activity like this happened in August of 07 right after the surprise discount cut (that we now know was leaked by current Treasury Secretary and then NY Fed President TIm Giethner). That was about six months before Bear Sterns blew up, and a year before Lehman. I don't think we have the same lead time between cracks starting to show and things blowing up as we did then due to the lack of remaining policy tools available to the Fed. I'm going to be looking for strange option activity in components of the XLF as well when I get a chance. About a month before Bear failed someone opened up some way out of the money puts that were basically failure bets that paid of big when Bear Sterns failed.

Originally posted by sligtlyskeptical
This trade was most likely to protect another long position. Let's say you have $500 million in stocks. By spending $11 million he has pretty much insured himself from losing too much if the market goes down. If it continues to go up this trader just makes a little less.

This seems like the most likely explanation. But it's still good to put a big question mark by this transaction, until something like the above is proven.

The gread depression, all started by JP Morgam, big time banker of the time, sarted a rumour that other banks were bankupt.

If this gets reported on tonight's news and in tomorrow morning's business section, then you'll know for sure that it is engineered.

The internet says a lot of stuff. It's only when the msm picks up on it that people assume it must be important. Engineering a market crash is not easy. You have to use all your resources to get the public to withdraw their cash en masse. So the propaganda machine must be used to get the required result.


Posted Via ATS Mobile: m.abovetopsecret.com

Originally posted by hawkiye

Originally posted by 12voltz
For the money challenged like me , can you explain the definition of "something bad",

Major stock market collapse leading out to a major economic collapse worse then 2008 in fact it will just be the finishing off of the 2008 collapse as that was just a fore shock.

edit on 7-2-2013 by hawkiye because: (no reason given)

PERFECT EXPLINATION!

I will add it will be a total US economic collapse, leading to a power vacuum on a global scale, the likes of which several nations are willing to go to war over the rigth to fill.

"...and all the green grass was burnt up..."

God Bless,

Originally posted by 12voltz
For the money challenged like me , can you explain the definition of "something bad",

losing an 11 million dollar bet would be bad for the person loses the bet therefore by losing the bet something bad did happen which means he actually wins the bet.

reply to post by jefwane


My bet is that something bad is going to happen, and it'll happen in Iran, affecting oil prices, committing US forces and NATO forces in general, and throwing the world into chaos for a while. Why do I think it'll happen in Iran? We are not destabilising Syria with our hired assassins and paid terrorists fast enough to allow us to create a US friendly regime there, and there are forces that want to cause peace in the area - not something that is in the western agenda...

So, if I'm right, it'll adversely affect the stock market. If I'm wrong, I won't be wrong for long.

Interesting thread. Great OP.

To me the VIX call spread options = legalized gambling. And, sadly it's a short term strategy to make money in days and promote the market volatility. Before the 2008 crisis, the VIX reached above 40. So, take a look at the example calculation in the link below. Seems crazy that you can make money whether the markets go up or down as the call spread is calculated on the day of closing the put options.
www.cboe.com... strategies/WeeklyStrategy.aspx?DIR=LCWeeklyStrat&FILE=02_08_2011_1.ascx&CreateDate=08.02.2011&Title=CBOE

reply to post by MarioOnTheFly


True sattire!

After yesterday's wave of chaotic tension that blew through akin of an El Nina; this news does not surprise me.

The unknown is okay it IS happening. Now what? Shear panic. I could imagine it may have a wave of more negativity similarly to 9/11. All of US in a state of shock. The scary thing is that day was probably for hits and nibbles.

Lastly - as 4 or 5 posters above stated - we lack the comprehension of the stock market especially the S & P. My bet most people couldn't tell you what the two letters stand for, much less the mechanics.

I am hoping that this turns out more like a couple of posters stated that it will be a way to create capital for cash poor companies. Or it is going to help the trade ratios (loosely reanalyzation of above).

As an ATSer though we realize the Fiat money system is doomed, at least for us commoners.

reply to post by Tardacus


I would assume as "'a commoner" that anyone with $11mil to throw out at this time.....has a coffer way bigger then that of a million commoners pooled together.