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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: Philipp who wrote (25347)	8/27/1998 1:49:00 PM
From: Tommaso	Respond to of 94695

>>>Does anyone know the actual values for when trading halts are initiated? I can't quite follow the way the 10-20-30% levels are calculated; it's based on some average number for the Dow in the previous quarter, or something like that. So I assume it would be a 900-1800-2700 drop, more or less, to put them into effect. Hard to believe they will ever hit such limits, though I guess 900 is certainly possible; the "collars" that are already in effect would seem to work to hold back sudden tripping of enormous moves by computer decisions. And so much stock is held by mutual funds and institutions where there would be a certain lag while a decision was reached. What I could imagine, though, would be a 2500-point drop over a week or ten days. But nothing ever happens the way you imagine.