What we are talking about is that you made bold claims, were proven incorrect and your claims were discredited. So how much weight should be put on your other statements? You sound like a developer who never worked remotely close to hft/uhft. Why injecting yourself into a topic you apparently know so little about?
New to HFT and Looking for support/help . We all started here, so hope some people can help me
- Thread starter BabaYaga
- Start date
When you say that i feel sad as I have a need to feel respected. referring to single digit microseconds I am correct as I stated. It’s a matter of what can be done taking in tyour according all the language’s limitations. I have no dog in this fight and happy for you to believe what you want.
Let me give you some quick answers
You need a broker with very small comissions. Comissions must be less than $0.001.
It is not easy to find this broker except if you made massive trades
You need special hardware since software solutions are slow. No one will give you their hardware.
If you need to make your software. You will need 100 skilled engineers for design and test.
Still we didnt speak about your strategy and if it works or not.
Much more things are needed
You need a broker with very small comissions. Comissions must be less than $0.001.
It is not easy to find this broker except if you made massive trades
You need special hardware since software solutions are slow. No one will give you their hardware.
If you need to make your software. You will need 100 skilled engineers for design and test.
Still we didnt speak about your strategy and if it works or not.
Much more things are needed
Someone with some emotional intelligence on this board, will wonders never cease?
Ok so if I WANT TO get into doing this in the future, what should I do? Should I start crypto trading?
Do you have any college degree? If then in which field? What are you skilled or experienced in? Everyone has some skills...
For the purpose of making money or getting a job in the industry?
Where I was at with HFT in 2011.. now there are Vampire Systems that feed on HFT.
The development of the ARM (Arbitrage Risk Module) project started in Nov of 2010. It’s a propriety component built on top of the XXX existing architecture. The following software components had to be developed to allow automated trading of ARM strategy:
1.Direct Liquidity Integration
Currently the Aggregation Module is connected to 3 destinations for Forex liquidity. These include HotspotFX, PFGForex (Institutional) and Interactive Broker. The ARM projects success is dependent on direct access to as many liquidity hubs and direct bank feeds as possible. We plan on adding 12 more liquidity solutions to the Aggregation system, this is an ongoing tasks that requires development and maintained.
2.Liquidity Aggregation Module
All the data from multiple destinations are aggregated and sorted in realtime without adding any latency to the streams. The aggregated streams are then passed on for analysis.
3.Trading Model
The trading analysis modules seeks out opportunities based on various models that have been developed. These models will determine the risk, velocity and available liquidity in order to generate signals.
4.Smart Order Routing
Once a trading opportunity is detected, order are routed to different destinations based on preset of rules which seek best execution using a sophisticated set of algorithms.
5.Risk module
The risk module tracks and monitors margins, fills, latency, and the overall “health” of each liquidity provider. Automated triggers will stop trading automatically based on several risk criteria that have been identified. Additional risk measure will be added as the project develops further and more realtime trading data is available.
6.Order Management System
The order management system is visual monitoring tool that allows full control over every aspect of the trading process including manual overrides, alerts, connectivity monitors, interaction with orders and more.
Risks involved:
Essentially the biggest risk to the project is related to latency:
·Latency in communication systems
Co-location and deployment of fast servers will reduce latency to its absolute minimum.
·Latency in software technology
ARM Module latency has been reduce to its lowest possible limits (2.4 Millisecond turnaround)
·Speed of order execution by each destination
This will be the biggest ongoing learning curve and risk. The team has to continuously adapt to changes to liquidity providers execution profile and aggressively add new liquidity destinations to the aggregation system.
·Issues arising from any technological breakdowns
Contingency measure will be implement to factor for each of the known risk scenarios.
Backtesting results:
The software components have been rigorously tested under stress conditions, and the models have been validated mathematically.
Liquidity streams of data from various destinations and their respective signatures, changes drastically depending on the sources of liquidity and the nature of the relationship with each bank (liquidity providers). This change in data profile and the nature of the trading model essentially invalidates any backtesting results. Therefore the only way to test the validity of this model is to forward test the strategies.
Simulated forward testing results:
Simulated trading tested have been conducted to tested out the technology components of this project. Please watch the following movie:
Notes:
Change the resolution in Youtube to HD 1080p for the best quality viewing. (The button is towards the left side of the video player near the bottom.)
This is private link for private viewing only. Please do not distribute.
This is a low quality video and many frames are missing, therefore the data flow appears slower then normal.
Notice:
·The aggregated time and sales for 2 destinations, HOTSPOTFX and PFG.
·The symbol being tracked is EURUSD.
·The P&L is being tracked.
·Notice the trades are being executed in realtime.
The development of the ARM (Arbitrage Risk Module) project started in Nov of 2010. It’s a propriety component built on top of the XXX existing architecture. The following software components had to be developed to allow automated trading of ARM strategy:
1.Direct Liquidity Integration
Currently the Aggregation Module is connected to 3 destinations for Forex liquidity. These include HotspotFX, PFGForex (Institutional) and Interactive Broker. The ARM projects success is dependent on direct access to as many liquidity hubs and direct bank feeds as possible. We plan on adding 12 more liquidity solutions to the Aggregation system, this is an ongoing tasks that requires development and maintained.
2.Liquidity Aggregation Module
All the data from multiple destinations are aggregated and sorted in realtime without adding any latency to the streams. The aggregated streams are then passed on for analysis.
3.Trading Model
The trading analysis modules seeks out opportunities based on various models that have been developed. These models will determine the risk, velocity and available liquidity in order to generate signals.
4.Smart Order Routing
Once a trading opportunity is detected, order are routed to different destinations based on preset of rules which seek best execution using a sophisticated set of algorithms.
5.Risk module
The risk module tracks and monitors margins, fills, latency, and the overall “health” of each liquidity provider. Automated triggers will stop trading automatically based on several risk criteria that have been identified. Additional risk measure will be added as the project develops further and more realtime trading data is available.
6.Order Management System
The order management system is visual monitoring tool that allows full control over every aspect of the trading process including manual overrides, alerts, connectivity monitors, interaction with orders and more.
Risks involved:
Essentially the biggest risk to the project is related to latency:
·Latency in communication systems
Co-location and deployment of fast servers will reduce latency to its absolute minimum.
·Latency in software technology
ARM Module latency has been reduce to its lowest possible limits (2.4 Millisecond turnaround)
·Speed of order execution by each destination
This will be the biggest ongoing learning curve and risk. The team has to continuously adapt to changes to liquidity providers execution profile and aggressively add new liquidity destinations to the aggregation system.
·Issues arising from any technological breakdowns
Contingency measure will be implement to factor for each of the known risk scenarios.
Backtesting results:
The software components have been rigorously tested under stress conditions, and the models have been validated mathematically.
Liquidity streams of data from various destinations and their respective signatures, changes drastically depending on the sources of liquidity and the nature of the relationship with each bank (liquidity providers). This change in data profile and the nature of the trading model essentially invalidates any backtesting results. Therefore the only way to test the validity of this model is to forward test the strategies.
Simulated forward testing results:
Simulated trading tested have been conducted to tested out the technology components of this project. Please watch the following movie:
Notes:
Change the resolution in Youtube to HD 1080p for the best quality viewing. (The button is towards the left side of the video player near the bottom.)
This is private link for private viewing only. Please do not distribute.
This is a low quality video and many frames are missing, therefore the data flow appears slower then normal.
Notice:
·The aggregated time and sales for 2 destinations, HOTSPOTFX and PFG.
·The symbol being tracked is EURUSD.
·The P&L is being tracked.
·Notice the trades are being executed in realtime.
Last edited:
Yeah, and that's the challenge for most amatures ... You won't know before you spend thousands per month. And by then you are probably a few microseconds too slow anyway
