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One that bothers me the most is automated high frequency trading. They can cause the entire market to crash because of one mistake.
by sschueller 9y ago
One that bothers me the most is automated high frequency trading. They can cause the entire market to crash because of one mistake.
- kirillseva 9y agoautomated high frequency trading also does the important work of eliminating the question "Which exchange should I buy AAPL at?" HFT is mostly ultra-fast arbitrage programs, and the benefit of using them far outweighs the downsides. Maybe the problem is not with HFT but in the industry as a whole
- vostok 9y agoA human trader can also cause the entire market to crash because of one mistake. See Waddell trading 75k e-minis or PVM trading 7 million barrels of brent while drunk.