Yep people think because they cannot figure out something, its not possible. He probably can't figure it out due to his emotions, he sounds bitter, which is natural progression to an eventual good trader, but he has to overcome that emotion to get better.
I don't know why people say HFT scalp, to my knowledge, that's not their goal, their goal is to "front run" the publics order, that is why they can go many days without a loss. Human traders scalp, HFT, tries to "guarantee" profit.
Took YEARS and YEARS and YEARS for me to get there, should start to see the benefits over the next few months all being well and it looks like all of the years will be worth it Strangely simple methods I was messing with 8 years ago are making me money today, wasn't the method needed the experience to see it correctly, so there is for most sadly no short cut to instant riches.
Your right, never understood how the work until the post after mine doh! all made sense then. How else can they do it, clever!
It's a proven automated system that makes money. So of course you need to ignore it since it proves you are wrong.
It's a cheat so sadly you can't use HFT's as an example at all! But I have a profitable method, a very very simple 1 so there are such things don't worry!
This as a record in SQL from a five minute chart of any of 85 different commodities futures charts. The rightmost column would be fed to a trading platform where the leverage is set @ 94%. If the BP in contracts is calculated incorrectly then 1 contract would be added to the BP as well (See error made on the MBT MAT platform, for example).
You could either say all systems manual or automated are cheats or that they have an edge. There are other HFT firms that don't make money and have to close up shop. Most of us are not doing an IPO so we don't make our systems public so there are few examples that I am able to show. Also, in a public tracking site, for over a year I had the number 1 Forex system in the world (that was public). So there are other examples showing that systems work.
Ofcourse HFT's fail. It doesn't mean they are not cheating. They fail because of competition with each other. The fastest is the one that makes the money, but they are still cheating. If I'm not mistaken, the industry is currently under investigation. Not hopeful the government will win this one, I think this is above their mental capacity.
Do HFTs pay commissions? If not, that is clearly cheating. If so, it can't be much given their volume of trading and that is also a form of cheating.