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"Equities Unglued" As CTAs Finally Join The Selling Frenzy

• https://www.zerohedge.com, by Tyler Durden

Specifically, as Nomura's Charlie McElligott said the bank's latest CTA model showed that systematic-trend funds were "at- or near- deleveraging "triggers" however not quite there yet.

That's no longer the case.

According to the latest update from Nomura's cross-asset quant, CTA deleveraging (as 2w and 1m window short-term models flip "short") has finally kicked in, creating -$66B of SPX for sale as "Long" position goes from +97% to +77% and then ultimately to +57% on the break below below 2895 (assuming futures levels "hold lower" at the close), a threat then can "self-fulfill" with front-run flows.

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