US Futures flat so far. Chart soon
Keep eye on oil today as yesterday was down -8%
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The entire market is at a delicate point. If it does not have a rapid upward movement soon then the over-whelming cost-of-carry will eat themselves from within.
In other words, when you have a 'book' that is highly levered (upwards of 60x in some cases) you require 'Up'.
In order to be positioned for this you need to have a massive amount of $$ to facilitate and 'carry' your position.
Each time the markets are flat or down if you are a levered fund this does not help you at all.
In this case you are holding assets that are not performing as you need them to but in order to keep those positions you must be able to show or bring funding to make up the difference in the overall positions(book's) loss.
This happens BECAUSE of the leverage.
In terms of overall % moves the daily gains/loss are pretty benign. When you add leverage of upwards of 60x it begins to get ugly quickly.
If, for example, we get a flat to down day today this will start to erode the most levered players. They will be forced to stump up cash or assets to carry the position or face a Margin Call
"Mr. Margin on all lines for you"-this is a phone call you do not want.
https://www.investopedia.com/university/margin/margin2.asp