What human would have stepped in front of a 1000 point DOW drop? Only an algorithm calculating it as a six sigma event would have executed in that environment. The market broke major resistance that day, it would have dropped hard even without algo's. The question is would it have come back so quickly without them.
What human would have stepped in front of a 1000 point DOW drop? Only an algorithm calculating it as a six sigma event would have executed in that environment. The market broke major resistance that day, it would have dropped hard even without algo's. The question is would it have come back so quickly without them.
I agree. And the constant upward drift and buying into every moderate pullback seems to be an algo phenomenon (supported by Fed POMO and now QE again). The bulls who cry foul over HFT may regret it.
Learning to trade, but still in school. Just an Econ major with a good bit of math and statistics work. I have no vested interest in keeping algo's alive. Merely an observation.
