Robinhood Dispels Hypothesis It Halted AMC Buying and selling After Inventory Change Pause
Robinhood, the favored inventory buying and selling cell software, dispelled hypothesis that it halted buying and selling for AMC Leisure Holdings after the New York Inventory Change (NYSE) paused buying and selling for the inventory.
“Hypothesis that Robinhood has halted buying and selling in $AMC just isn’t correct. Earlier right this moment, the NYSE applied a volatility buying and selling pause of $AMC,” Robinhood wrote in a tweet on Wednesday.
The tweet from Robinhood additionally included a hyperlink to the inventory buying and selling app’s web site the place it defined that “buying and selling halts for particular symbols could also be applied for a wide range of causes and might interrupt your orders to purchase or promote explicit securities. These stock-based halts are initiated by the particular inventory trade the place the inventory is listed or by the Securities and Change Fee, not by Robinhood.”
“Buying and selling halts are often put in place by a number of of the inventory exchanges or the SEC (Securities and Change Fee). A buying and selling halt for a selected safety could possibly be as a consequence of plenty of causes, like ready for substantial information to be launched or intervals of excessive volatility,” Robinhood stated on its web site.
In a subsequent tweet, Robinhood linked the NYSE’s non permanent halted buying and selling record which confirmed that AMC buying and selling had been halted twice, with a resume time set at 1:27 p.m. ET.
On Wednesday, the New York Inventory Change halted AMC buying and selling because the inventory surpassed $60. NYSE regulators halted buying and selling for the inventory for a Restrict Up Restrict Down (LULD) pause.
In line with the NASDAQ: “The Restrict Up-Restrict Down (LULD) mechanism is meant to forestall trades in Nationwide Market System (NMS) securities from occurring exterior of specified value bands. The bands could be set at a proportion stage above and under the common reference value of the safety over the instantly previous five-minute interval.”
Robinhood directed Newsweek to its tweet after reaching out for remark.
Regardless of Robinhood’s assertion on Wednesday, traders attacked the inventory buying and selling software, accusing them of imposing the halt as a substitute of the NYSE.
Dave Portnoy, founding father of the sports activities and popular culture weblog Barstool Sports activities, tweeted: “If you happen to nonetheless use @RobinhoodApp that is your fault. What number of occasions are you gonna fall for the previous banana within the tailpipe? Having stated that that is nonetheless outrageous.”
Portnoy additionally tagged Robinhood CEO Vlad Tenev in his tweet.
Twitter person Artwork Taking Again wrote: “Wtf @RobinhoodApp?? Cease manipulating the market.”
In a tweet, MalewareTech Weblog defined that “Robinhood is trending as a result of AMC triggered NYSE’s LULD breaker, and folks do not know what that’s so as a substitute they’re raging at Robinhood for getting in the way in which of them turning into wealthy.”
