3 ms·
As I understand it, "sniffs your trades on the wire" is an inaccurate description of what is going on. HFT is responding to information about trades that have
by dllthomas 11y ago
As I understand it, "sniffs your trades on the wire" is an inaccurate description of what is going on. HFT is responding to information about trades that have already happened (possibily at a different exchange).
Where it really is wire tapping, I would say the right term might be (high speed) industrial espionage.
- AjithAntony 11y ago> HFT is responding to information about trades that have already happened (possibily at a different exchange). And that they were likely a party to. They would place small orders on all the stocks so that they could detect activity that they could exploit at the next exchange a millisecond down the wire.
- dllthomas 11y agoRight!