On Friday, June 9, 2017, the technology sector did what can only be described as a flash crash. I have captured the real-time event in under 7 minutes on a sped up 10 minute chart.
Anatomy of a Flash Crash
Notice the algos manufacturing a sell the breakout move. Opps, no humans left and all the quants doing the same thing, selling the breakout. The machines are not smart, their machines. It’s ARTIFICIAL intelligence, meaning fake intelligence. Programming sub-routines start all running sell code as stop loss levels are hit. It’s an AI manufactured flash crash that destroys everything in its path. It’s machines run amok.
There’s some irony that this happened in the technology sector, the very home of AI.