traderthrow454

3 ms·

1. 1.▲
   by traderthrow454 6y ago

   HFT = electronic trading, or at least the bulk of it. The human traders that existed before HFT firms & HFT desks at banks were largely doing the same thing that HFT firms do now - making markets on a wide range of securities, but less
2. 2.▲
   by traderthrow454 6y ago

   > I'm certain HFT vols are up in the volatility. Not sure that proves or disproves anything. You said that HFTs jump out when things get volatile. But then I show you evidence that they trade more in high volatility. Do you not see
3. 3.▲
   by traderthrow454 6y ago

   My initial comment was discussing speculative trading in general, but since you mostly brought up some common anti-HFT tropes I might as well address them. > Many HFT jump out when things get volatile, when liquidity is actually required
4. 4.▲
   by traderthrow454 6y ago

   I think thats an overly simplistic view of things. The market is big and many participants trade at different frequencies. Large pension funds need liquidity to move big blocks of stock for their quarterly and monthly rebalances, and the bi
5. 5.▲
   by traderthrow454 6y ago

   If you want to read useful academic papers about trading there is one author in particular who is actually not bad - Zura Kakushadze. Most of his stuff is applicable to mid-frequency trading, not HFT. He worked at WorldQuant (reputable trad