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Wednesday, July 27, 2011

How to Make Money in Microseconds

Interesting article on Algorithm Trading

http://www.lrb.co.uk/v33/n10/donald-mackenzie/how-to-make-money-in-microseconds

5 comments:

coconut said...

thanks fat, very interesting but very long haha.

they have not have a big impact on our local market yet, i will not trust any algo system that i can place my orders. i rather make mistake on my own.

trade longer terms, avoid high liquid counters (for stocks) and stay firm with your orders.

coconut said...

actually i was kind of worry that they will swamp into our market after SGX had tighten the price spread.

well no, not that i can notice. so business as usual.

Fat88Trader said...

Wait a few more months when the new trading system comes in to know the effect.

But anyway, there are still plenty of market orders from Aunties and Uncles that you can yum.

In the futures market, most are professionals.

coconut said...

haha, i bully the Aunties? wah!

actually there are more professional, mostly institutional player than one think.

aunties don't trade 100, 200 lots at one go.

anyway you are partly right.

coconut said...

and ofcos there are algo in our system, i trade i know. even the low liqulity counters.

these people can execute orders lightning speed.