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That last "if" is the crux. Intent is a huge factor in what is and is not considered legal market behavior. For example, consider banging the close. Buying lots of futures at a certain time of day is not illegal in and of itself. But it's quite illegal if regulators show that your purpose in doing so was to influence the settlement price of some other asset in which you hold a position.


Wouldn't banging the close be priced into the market?

Can you leverage buying a lot of calls or puts into making profit for yourself?


How are they going to prove intent?


It tends to involve things like subpoenas and depositions.




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