111–120 of 154 posts
Earlier quoted context omitted.
Market makers aren't speculators. It's like the opposite.
Market makers very much are speculators. They intend to make money on the spread. They clearly are not investors.
As for if they're hurting markets, that seems like banning grocery stores and expecting people to buy food from cereal manufacturers.
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Who/what is able to trade equities specifically (like SPY the ETF, or any of its underlying components like AAPL, META, etc.) pre-market and/or post-market?
Anyone that uses IBKR as their broker can trade what I mentioned above pre/post market (and some cases overnight). IBKR is a retail broker. I use them, for example. Most brokers in the US let you trade common stock before and after market hours, even ones like webull. That said, not every broker has the same pre/post market trading hours, but the better ones let you trade almost all day and night depending on the und…
Earlier quoted context omitted.
Because the memory fills up. You pre-allocate a million orders, and send 800k orders a day, leaving only 200k free slots. You're going to run out mid day tomorrow if you don't restart.
Ah, OK. But I would characterize this as an internal allocator that never deallocates. You might as well replace `malloc` and `free` to do the same, and just allocate within the program normally. Just because you "preallocate" it doesn't mean that you don't implement a poor man's allocator inside the preallocated buffer.
On a tangential note, I've been meaning to pursue a silly hypothesis that you could buy cryptocurrency low on mondays and sell high on weekends, because that's when recreational gamblers gamble most - an extension of pandemic-bubble thinking. Just wondering if anybody ever graphed it out...
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Historically, it's because exchanges were real places that people went to, and it would be expensive and pointless to run them all night. These days, there is a trend towards opening hours getting longer (eg [1]). But there is still value to limited hours. Off the top of my head: 1. Liquidity gets concentrated. If there is a fixed amount of end-user demand (inflows into pension funds, oil production to hedge), then s…
>Closing the market gives participants time to do various kinds of admin related to trading. Trading firms can restart their software to fix the memory leaks.
I once was tracking a white whale of a memory leak. Along the way I was able to optimize memory usage of the leaked objects. So I got to the point where I thought maybe the leak was caused by simultaneous read, update, and delete operations on a single key, but by then I'd improved memory usage such that weekly, rather than nightly restarts were needed. The futures markets at the time were 24/7 but with a maintenance period on the weekends, so my boss just told me to leave it and let the restarts garbage collect.
Since the article is not very informative, and it's a real rabbit hole to try to track this stuff down across all the linked articles etc. and as I don't even really care about stocks and the market, I am only left with one question which I did not find answered anywhere yet - what exactly does day and night mean in the context of the whole world trading?
Intraday means you buy some stock - in some exchange - in the morning at the open price in the opening auction and sell the stock in the evening at the close price in the closing auction. Overnight means you take the other side: buy at the close and sell at the open. (This is a bit more complex conceptually as you would never settle the trades and that may be problematic regarding dividends and other corporate action…
The move to T+2 settlement last decade reduces the requirements, and T+1 later this decade would reduce them further.
Dividends and corporate actions aren't a big deal. Those all have announcement dates and record dates. If you hold the shares at the close of market on the record date, you will get the dividend or other proceeds. So if you always manage to buy at close, you will always get those benefits. The only complication would be if you want to oppose a merger and have standing to sue; or I guess if you were an injured party in any other shareholder lawsuit. Lots of tax paperwork too.
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If anyone is wondering, this is not a joke. Some of the trading systems I've worked on were designed to be restarted every night. The memory didn't "leak", but was designed this way - preallocate all the memory you could need, and its "freed" when you restart at night.
> preallocate all the memory you could need Well, why did they have to restart if they never made any further allocations? This does not add up.
I buy all the groceries I need from now until the end of time. That's not realistically achievable, from any perspective.
Allocating all the memory you need for a day is realistically achievable. Allocating all the memory you need until the end of time is not realistically achievable.
On a tangential note, I've been meaning to pursue a silly hypothesis that you could buy cryptocurrency low on mondays and sell high on weekends, because that's when recreational gamblers gamble most - an extension of pandemic-bubble thinking. Just wondering if anybody ever graphed it out...
Almost the opposite effect exists: Bitcoin returns on Mondays are significantly higher than those on the other days of the week[0]. [0] https://www.sciencedirect.com/science/article/pii/S154461231...
> In general this strategy is profitable, both for the full sample and for individual years, but in most cases the results are not statistically different from the random trading case, and therefore they do not represent evidence of market inefficiency.
Another hypothesis for the wood chipper