Rangers suffered a 4-0 loss to Celtic at Hampden Park on Sunday afternoon.
The 26-year-old was taken off in the 41st minute of the match with the score 2-0 to Celtic, after first-half goals from Tom Rogic and Callum McGregor.
Halliday, who was loaned to Azerbaijani side FK Gabala for the first half of the season, was a surprise starter in the side but was replaced by Josh Windass with four minutes still to play until half time.
Scottish midfielder Halliday reacted angrily to being taken off before half-time, and had to be calmed down by Bruno Alves as he made his way to the bench. Thompson stated Murty made a mistake in replacing Halliday, but says he should not have started either.
“I’ve got sympathy for Halliday. He was chucked under the bus, thrown into the midfield that was completely disorientated because Murty tried to match Celtic’s midfield,” Thompson said.
“Why take a player off in the 41st minute. Wait till half-time, take him off and save the aeotions and embarrassment. It was an error starting him in the first place, and second was taking him off before half time.”
Halliday lined-up alongside January signing Greg Docherty and Graham Dorrans in midfield, with Ryan Jack and Jordan Rossiter still injured. Jason Holt had to make do on the bench.
Celtic are now likely to go on and win the treble, with Rangers facing a test of character to finish in second place with Aberdeen on equal points and in-form Hibernian in fourth.
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