I attended a roundtable discussion this morning titled “High Frequency Trading: The New World Order”.  In case you are not familiar with the subject, high frequency trading is the hottest thing in the equity market right now.  Over 60% of equity volume comes from HFT.  Basically, HFT’s are computers that execute trades with extremely low latency.  They live in a world of milliseconds.  If your computer takes more than 50 milliseconds to execute, then you are a dinosaur in this business.  The panel at this roundtable was comprised of 2 brokers that sponsor access to HFT’s, one exchange rep that (more…)

The market again has trouble not holding near S&P = 944ish. But not for a lack of trying! We witness each day the interpretation of data to be bullish (whether we agree or not), and we witness each day the post – 3:00pm program buying. The volume is light. It takes little to swing the market.  But no matter; she is tired. The market is tired. The market is Wile E. Coyote. I personally feel it is like Wile E. Coyote: The market is unable to just stop before the cliff. She tries to slam on the brakes,but it matters (more…)

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May, 2009