11–20 of 153 posts
Earlier quoted context omitted.
Go to the router just entering the exchange, type: tc qdisc change dev eth0 root netem delay 100ms 10ms Problem solved.
what does this do? (non-finance guy here)
http://www.linuxfoundation.org/collaborate/workgroups/networ...
Earlier quoted context omitted.
Go to the router just entering the exchange, type: tc qdisc change dev eth0 root netem delay 100ms 10ms Problem solved.
what does this do? (non-finance guy here)
It would be a wonderful thing to see all of those millions these guys have "invested" shaving a millisecond or two off their transaction times laid waste by a single command.
You cannot defend frontrunning of a market. If I ask for X at Y. Someone else shouldn't have the facility to buy it based on my own trade signal and try sell it back to me. It is mindblowingly simple theft. The arguments for liquidity do not hold. There is some fascinating cognitive dissonance when it comes to the HFT industry.
That's not what's happening here. Traders are arbitraging and reacting to public trades and orders on multiple markets. If you walk through a physical market where 8 apple carts are lined up, all selling apples for $1, buy every apple at cart #1, then buy every apple at cart #2, and so on, would you be surprised to find the price moving up or sellers stepping away as you approached carts #7 and #8? The same thing hap…
Earlier quoted context omitted.
Go to the router just entering the exchange, type: tc qdisc change dev eth0 root netem delay 100ms 10ms Problem solved.
what does this do? (non-finance guy here)
Earlier quoted context omitted.
what does this do? (non-finance guy here)
Its a bit of a joke. Its a network thing, not a finance thing. What it does is adds a delay and more importantly, a bit more random delay to the time it takes the order to reach the exchanges server. Once you add in the non-determinism, HFT basically falls apart because you can't take your truckload of cash and buy yourself a place in a datacenter that's 2ms closer to the exchange and front-run everyone. It would be…
You cannot defend frontrunning of a market. If I ask for X at Y. Someone else shouldn't have the facility to buy it based on my own trade signal and try sell it back to me. It is mindblowingly simple theft. The arguments for liquidity do not hold. There is some fascinating cognitive dissonance when it comes to the HFT industry.
That's not what's happening here. Traders are arbitraging and reacting to public trades and orders on multiple markets. If you walk through a physical market where 8 apple carts are lined up, all selling apples for $1, buy every apple at cart #1, then buy every apple at cart #2, and so on, would you be surprised to find the price moving up or sellers stepping away as you approached carts #7 and #8? The same thing hap…
If some guy had a business where his sole service was to sit in the apple cart market waiting to front run me and then immediately sell the apples right back to me, I'd be surprised and super pissed.
You cannot defend frontrunning of a market. If I ask for X at Y. Someone else shouldn't have the facility to buy it based on my own trade signal and try sell it back to me. It is mindblowingly simple theft. The arguments for liquidity do not hold. There is some fascinating cognitive dissonance when it comes to the HFT industry.
That's not what's happening here. Traders are arbitraging and reacting to public trades and orders on multiple markets. If you walk through a physical market where 8 apple carts are lined up, all selling apples for $1, buy every apple at cart #1, then buy every apple at cart #2, and so on, would you be surprised to find the price moving up or sellers stepping away as you approached carts #7 and #8? The same thing hap…
You cannot defend frontrunning of a market. If I ask for X at Y. Someone else shouldn't have the facility to buy it based on my own trade signal and try sell it back to me. It is mindblowingly simple theft. The arguments for liquidity do not hold. There is some fascinating cognitive dissonance when it comes to the HFT industry.
From the article:
>Also note how the cancellations rotate through many different exchanges. That's one sure way to throw off, confuse, stall a smart order router.
Or you know, because it's multiple market participants that are updating their prices.
>Someone else shouldn't have the facility to buy it based on my own trade signal and try sell it back to me.
What? If you're the owner of a bakery and you see a guy buying every single bread that your competitor is selling, wouldn't you increase the price of your own bread in case this guy comes to you?
Earlier quoted context omitted.
That's not what's happening here. Traders are arbitraging and reacting to public trades and orders on multiple markets. If you walk through a physical market where 8 apple carts are lined up, all selling apples for $1, buy every apple at cart #1, then buy every apple at cart #2, and so on, would you be surprised to find the price moving up or sellers stepping away as you approached carts #7 and #8? The same thing hap…
If you stood in front of all of those carts simultaneously and said "I'll take all of your stock at the advertised price", I'm guessing you'd be a bit peeves if someone else pushed in front of you and started buying some of the stock (the equivalent of the 1,570 shared bought by some random buyer at the exact point this order was put in).