Do large banks and institutions use TA to profit?
- Thread starter londonkid
- Start date
I do not think the word hedging means what you think it means. And happy to hear you iterate exactly what loopholes in Dodd Frank would have someone using TA or any other trading system for to profit from the trading aspect of what they're doing? Not to mention the question of why trader's would be putting effort into making money off trading when they can't be compensated for that without running afoul of the law (and trader's at hedging desks at banks aren't compensated on trading profits). You were caught out on a fabrication my friend, don't continue to dig the hole you're in deeper with more ridiculousness. Just fade away and remember that there are a few people here who know a bit about this industry next time you're tempted to exaggerate or fabricate.
In order for hedges to be placed properly, exemplary directional analysis is required. This involves the utilization of the Bollinger Bands analysis which is the number one analytical tool employed by banks and institutions. This is especially true when hedging mbs pricing commitments and third party counter risk. --The exceptions to Dodd Frank are numerous and require extensive chart analysis techniques if so engaged.
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Why does the Bloomberg terminal & similar high-end software have charts and useless indicators if pros don't require them?
Oh come on surf.
hmmm yes. Mucho speculation can be hidden under the guise of hedging/market making. There are a lot of naive people on ET lol.
Sig, while i beleive b1s2 made up his story, prop at banks isn't gone. It went undercover. Banks still take risk to facilitate customer flow and they hold inventory in anticipation of customer flow. These are very vague criteria.
What Dodd frank did change was the explicit prop groups who had no interaction with customers.
Bloomberg adds whatever anyone requests to the platform. Heck, there is even an astrofinance feature-- think JP Morgan must use the stars because its on Bloomberg?
If institutional traders use TA, its to DESCRIBE what HAS happened to clients and for marketing --- not to make trading decisions.
So they are commiting crimes by violating regulations?? Is that what you saying?