My theory that hft traders are scum, proved and documented

[ogarbitrage]

Quote from Bob111:

those papers with fancy formulas are written by academics,i'm practitioner with a quite a bit of experience..

Then you should understand and adapt to the evolution of markets. Or die fighting them. Your call.

 

[Bob111]

Quote from ogarbitrage:

Then you should understand and adapt to the evolution of markets. Or die fighting them. Your call.

i'm trying to adapt(see size reduction example), but it's not what this thread is about. all i'm trying to say is that HFT is not as good,as they are presented in those papers. from my expirience reality is quite a bit different. that's all.

 

[rew]

Quote from Bob111:

that's the problem with US stock market..combination of the rules and participants that promote zero transparency and fairness between retail and wall street. i know,it was always like this,but today we have complete dominance by wall street over retail.i mean it -COMPLETE.
it is your own words and you are correct-HFT does serve today as a sofisticated market marker. market maker,who got all the rules,all the rights,all possible and impossible for retail data and ZERO obligations. that's a big difference,compared to "traditional" MM. at least the old one use to have some obligations. 80% of the volume on US stock market is fake,it's just bots shuffling those shares back and forth..once you step into this market with real order-all that "liquidity, provided by HFT" will disappear,right after you hit your buy\sell button

Well if most of the volume is just bots shuffling shares back and forth with other bots that means that most of the time the profits made by one bot are profits lost by another bot. If so, we can just stay above the fray and watch the HF traders feed off of each other. I am unconvinced that HFT has much impact on those whose trading time frame is well in excess of an hour. If the HF traders ruin your day trading strategy, well cry me a river. When did God say that you have a greater right to the profits that the HF traders are getting, when neither of you are doing much to improve the world?

 

[stock777]

rew is an idiot

but he/she/it is right about the last part

 

[rew]

Quote from stock777:

rew is an idiot

but he/she/it is right about the last part

If you want to prove that your are not an idiot, you should give a good explanation about why I am an idiot.

 

[emg]

Quote from stock777:

http://blog.themistrading.com/?p=2256

The paper itself will be over your heads, but if you read carefully, you'll see that my claims of hft being scum are in fact, proved empirically .

Winston is toast.

Themis Trading? These guys are located in northern nj. quote from the blog:

-Since all HFT sees the same signal, they all do the same trades at the same time. They create their own momentum which generates profitable returns.


I will not be surprise, Good blog

 

[Bob111]

Quote from Bob111:

that's the problem with US stock market..combination of the rules and participants that promote zero transparency and fairness between retail and wall street. i know,it was always like this,but today we have complete dominance by wall street over retail.i mean it -COMPLETE.
it is your own words and you are correct-HFT does serve today as a sofisticated market marker. market maker,who got all the rules,all the rights,all possible and impossible for retail data and ZERO obligations. that's a big difference,compared to "traditional" MM. at least the old one use to have some obligations. 80% of the volume on US stock market is fake,it's just bots shuffling those shares back and forth..once you step into this market with real order-all that "liquidity, provided by HFT" will disappear,right after you hit your buy\sell button

http://www.bloomberg.com/news/2010-...ofit-drives-high-frequency-s-new-cowboys.html

Quote Stuffing

Quote stuffing hasn’t gone away. On an average day, 15 to 20 stocks get more than 5,000 quotes a second that never turn into a trade, Hunsader says.

Today, the Big Board is one of 11 U.S. exchanges that display quotes publicly. Two more are coming this month. More than 30 dark pools, which allow buyers and sellers to operate without showing their actions to others, and 200-plus venues operated by banks and brokerages match buyers and sellers privately.

 

[Mav88]

If you want to prove that your are not an idiot, you should give a good explanation about why I am an idiot.

be sure it is empirical proof, there must be an academic out there who published on 777

 

[EPrado]

People are always bitching about something, especially when they are not making money trading. I am not a HFT, but have just adapted to deal with them. That's the problem with most losing traders....they whine and whine about everything else without doing any work on their end.

I guess the people who are bitching about HFT weren't around back in the days of The Nasdaq market makers. What those guys did made the HFT guys look like saints. I can only imagine what todays whiners would be doing back then....probably wetting their pants 100x worse.

 

[Mav88]

At least HFT is a computer on an electronic platform. It is somewhat of a known.

People who bitch about that must not remember the things that would happen in trading pits to retail orders. Long ago I tried trading OJ futures via the pit, the things those guys would do with your market orders could only be described as financial rape.