by Mark St.Cyr
There was a time not all that long ago (circa 2009) when the markets were still gyrating wildly after the initial shocks of the ’08 collapse. It was during those gyrations that there was a very perceptible, heavy, and “hidden hand” making itself ever-present.
This “hidden hand” came in only on one side: The Bid. i.e., Buy side. And buying was all it did, with such deadly efficiency, anyone caught on the other side.(i.e., Shorts) were either sent running for the hills, or, their accounts were sent screaming for bankruptcy protection.
So insatiably strong and uncharacteristic to the dynamics associated with what veteran traders along with anyone with a modicum of business acumen knew to be true (as in how markets react to all buying and selling) it was given a name. That name was “The PPT” which stood for “the plunge protection team.”