Complete Text   I. Causes   II. Effects   III. Further Research   IV. Recommendations  

The chart above shows the number of stocks that were in Slow Mode (price hit liquidity replenishment point, or LRP) during each one-second interval. The blue bars represent any type of Slow Mode (bid side, ask side or both sides), and the yellow represents the number of stocks in Slow Bid only. You can see that the number of stocks in Slow Mode was quite low overall, and did not really increase until the collapse was almost over. Furthermore, the stocks entering "slow mode" were trailing the market, not leading the market. The stocks that led the market are the same stocks we analyzed in 'Part 3, The Evidence' in our Initial Flash Crash Analysis report.

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