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Adventures in algorithmic trading on the Runescape Grand Exchange

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Re: Adventures in algorithmic trading on the Runescape Grand Exchange

#41

Post by partypete »

soared wrote: post #16

I did this same thing but via a google sheet, really fun either how excellent the wiki’s API is. The profit per hour shown here is abysmal - you’d make more money doing pretty much anything. I’d like to see market-level and category-level analysis on price trends (ie all magic-combat gear is trending up, or this specific item has a lagging relationship with another). If anyone is curious, prices may be out of date bu…

Keep in mind that the actual profit if the bot were not randomly choosing between each model version would be about 600k/hour. You're conflating the experimental profit, wherein each model only has access to 1/3 of the potential trades, to what the profit would be if only the best model were making trades.

Also these bots have been running for over a year almost every day without being banned.

Re: Adventures in algorithmic trading on the Runescape Grand Exchange

#42

Post by naming_the_user »

rightbyte wrote: post #40
naming_the_user wrote: post #19

I made approx 1K GBP as a young teenager trading in RuneScape prior to the introduction of the GE. Haggle people down to say 6 mil for a party hat I'd sell for 6.5, repeat, when I quit the game I sold it all on eBay, my mum was rather surprised when the money came in. Hourly rate? Awful. I very much doubt that I'd be where I am today without that experience though.

> for a party hat O dear I've forgot about how saught after those were.

One of my regrets is that I never quite got to own a Blue.

Re: Adventures in algorithmic trading on the Runescape Grand Exchange

#43

Post by postexitus »

bboygravity wrote: post #24
postexitus wrote: post #6

Earlier quoted context omitted.

This is actually how markets are made - do you think a second hand book shop operates any differently?

Second hand book stores take people's money and then give them nothing in return? I'm referring to naked shorting and failing to deliver perpetually. Sorry, I fail to see the analogy.

Analogy was between market making (buying and selling the item in Runescape with a spread) and second hand book sellers (having a buy/sell price that's not equal to each other for a second hand book). Citadel Securities does not do naked shorting and does not fail to deliver - they make markets by taking position both on long and short side of the market with a spread in between. Some of the short positions they take may not have an immediate backing - but they make up for that by offering more more and attractive prices for bids making up the shortfall within a matter of milliseconds.

Re: Adventures in algorithmic trading on the Runescape Grand Exchange

#44

Post by glockjock »

next_xibalba wrote: post #13
bboygravity wrote: post #5

Earlier quoted context omitted.

This is actually kind of how the US market works with essentially 1 market maker who is by far the largest and who also happens to be the largest political donor (100 million a year to gop alone). Oh, and like Bernie Madoff, the owner of that market maker also owns a hedge fund (which like Bernie's makes completely impossible profits year after year). The hedge fund is of course a totally seperately run business from…

You appear to be referencing Jeff Yass and Susquehanna International Group. Why are you being cagey about saying so? Their hedge fund has had losing years, whereas, as far as I recall, Madoff never reported a loss. On what information are you basing your claims?

Yass, Griffin and Mercer cannot lose. They make a profit on every transaction on a listed exchange whenever they want, using inventory or front running bids and asks w faster computers than the rest of us have. They also do naked shorting and spoofing on bids and asks- disingenuous large blocks that are entered to start a stampede and then pulled after the carnage. They are crook billionaires and that's all they are. They don't want to be regulated or taxed, and that's why they're trying to buy the election. They are evil.....

Re: Adventures in algorithmic trading on the Runescape Grand Exchange

#45

Post by glockjock »

mmiyer wrote: post #26
bboygravity wrote: post #25

Earlier quoted context omitted.

What claim about how the market works is silly exactly and why? My claim was that 1 person owns the 1 major US market making business AND a hedge fund. Facts: they can control the price (naked shorting + strategic FTDs) and trade on it. Even if they can't/don't control the price, they can still front run the entire market. And even if they don't do that bEcaUsE iT's iLliGaL they legally (not ethically) do it through…

You should be happy that market makers like Citadel Securities exist. Payment for order flow is why commission free trading can exist. Citadel Securities, Virtu, Hudson River Trading, Jump Trading etc compete in a negative sum game which reduces the bid ask spread on various assets (i.e. make them cheaper to trade for everyone). Also lol that a hedge fund with about 1% of total hedge fund assets controls prices. What…

Actually, this could all be done with a blockchain bid and ask trading system that would match all bids and asks and execute without Yass and Griffin and Mercer. If Susquehanna and Citadel and Renaissance want to do it then every transaction should be taxed on a scale and the money used to pay down the national debt, or into next gen energy infrastructure. These guys are buying yachts, Lamborghinis, and elections.
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