Does automated trading generate any real profit?

Reposting of an important question from a forum, because I think it’s a pretty important question. Does automated trading generate any real profit? What I’m trying to ask is that if we have two identical country, and then add an automated trading system to one of them. Will that country end up having more wealth than the other … Continue reading

Bad Medicine: regulating high frequency traders won’t address muddling of dark pools

Recently, I read Scott Patterson’s (@pattersonscott) Dark Pools, the somewhat disturbing recent history of high frequency trading, packaged in a superb narrative that is probably the closest to a Bond thriller that the industry will ever get. He eloquently points out the twists and turns that lead to where we are today. Starting with 24 dead … Continue reading

Top 25 Articles on High Frequency Trading

From the Web 1. A High Frequency Trader’s Apology, Pt 1 and Pt 2:  a decent insider’s explanation for non-HFT peeps 2. John Nolan on the State of Hardware Acceleration with GPUs/FPGAs, Parallel Algorithm Design: an industry veteran discusses recent trends the hardware side of accelerating trading 3. [Disclosure: Self-plug on ] how the existence of HFT undermines the … Continue reading