How much does the Pit contribute to the ES

I wonder how long it will be before the CME is sued for unequal treatment of shareholders.

A publicly traded company like the Chicago Mercantile Exchange can't rig a sweetheart arrangement for some shareholders (pit traders) that comes at the expense of other shareholders (non-pit).

This could cost them some big money in the future.
 
BIGHOG is never wrong .. :D

Many think computers rule the game and are the answer to the money trail. Gee, How long have computers been around now and STILL approv 90% of newbies bloow themselfs up within a year or so?

The answer is in the human mind, not in a software package.

Price discovery is from humans not computers. But i will not argue the point with fools. .. :D
 
covert

Do you pick your nose when you think? DONE......MORONS. i am gonna drop forums all together , fools. .. better things to do than lead wannabes around by the hand . They want to hold your hand and pick their ass with the other hand. BYE, BYe
 
No need to cry and whine, you are wrong on this particular point, move on. We are all wrong sometimes, just be a man and take it. Your response here sounds like what a teenager would write. Are you a teen?

Quote from bighog:

covert

Do you pick your nose when you think? DONE......MORONS. i am gonna drop forums all together , fools. .. better things to do than lead wannabes around by the hand . They want to hold your hand and pick their ass with the other hand. BYE, BYe
More...
 
Quote from erToo:

The problem is that the people on the floor uses this privilege to fade every ES breakout and arb it with the pit. This causes ES to trade choppier than it should and cuts short rallies.
More...

Thanks, erToo, this is the first crystal clear explanation I have read concerning the extreme chop and misdirection in the ES.

Makes perfect sense, thanks for sharing it.

If you have additional thoughts on the subject, would look forward to hearing them.
 
Quote from erToo:

I wonder how long it will be before the CME is sued for unequal treatment of shareholders.

A publicly traded company like the Chicago Mercantile Exchange can't rig a sweetheart arrangement for some shareholders (pit traders) that comes at the expense of other shareholders (non-pit).

This could cost them some big money in the future.
More...

ER-
You do have a point about the unequal treatment, but one other thing to consider. There are actually 2 different classes of shares- The equity shares available to the public, and the B-Shares, which used to be the trading rights or seats. I'm not sure how this affects the CME's liability, but you do bring up a good question.
This has always been an un-level playing field. However, the marginal advantage to being on the floor is pretty much gone now. True, every day there are a few 'sitting duck' orders in the pit that get ravaged by the locals, but for the most part, they are just staring at the e-mini's and waiting for a move.
As for you, BH, since this is an anonymous forum, you really aren't embarrassing yourself. You can go back to tending the deep fryer at Arby's and none of your co-workers there will ever know how foolish you are here. Congrats.
 
I was never a clerk in the Merc, but had an office in the building for quite some time, and got friends who are/were clerks and locals.

ES rules the floor. There is no indication the floor can drive the Minis.

The main trend in the floor has been arbs for quite some time, especially between options and other products. From an arb. perspective, then yes, the floor has some contribution.
 
Quote from bighog:

gnome

Let this sink in deep fellas..................the pit sets the price that ES follows. Later, time to slice some bacon.
More...

you dont know what you're talking about. the SP 500 pit at the merc is dead. the order flow is almost non existent. the guys i know down there barely come in or trade the open and close only.
 
You must log in or register to reply here.
Back
Top