SHO limits don't apply to bona fide market making, I'm nearly certain. But regardless, you would expect the inability to short by non-MMs would actually keep ETFs and Stocks from hitting their breakers, not making it…
Since ETFs are derivatively priced, it's irrational on the face of it. If I sell you a bundle of 100 $1 bills for $50, it's irrational. ETFs are wrappers around stacks of stocks.
A stop with a limit is perfectly fine. It's essentially saying "If the stock trades below X, sell it, but not unless its above Y." So if you bought at 80, its now at 100, and you want to make sure you make some profit,…
SHO limits don't apply to bona fide market making, I'm nearly certain. But regardless, you would expect the inability to short by non-MMs would actually keep ETFs and Stocks from hitting their breakers, not making it…
Since ETFs are derivatively priced, it's irrational on the face of it. If I sell you a bundle of 100 $1 bills for $50, it's irrational. ETFs are wrappers around stacks of stocks.
A stop with a limit is perfectly fine. It's essentially saying "If the stock trades below X, sell it, but not unless its above Y." So if you bought at 80, its now at 100, and you want to make sure you make some profit,…