10,000km Scalping, trade length, slippage and proximity hosting

Discussion in 'Automated Trading' started by qubit, Feb 20, 2007.

  1. qubit

    qubit

    I am going to be spending 12 months in Chile.

    (1) how would you stay close to the action for autotrading FX futures and or FX. Is proximity hosting an option for someone with a trading capital of only 15,000 USD.

    (2) Given that with a 1300kbps line in Santiago Chile you can ping London and NY at 246ms and 220 ms respectively, what is the shortest trading time frame you would consider viable (or the slippage expectations).

    (3) Do you think a strategy that goes for 3 to 5 tick moves over 20-90sec could still work from Chile? Would you use a setup like Neoticker, IQfeed, and IB.

    ps. not a true programmer, only spent time with matlab, mathematica and vb.
     
  2. Paccc

    Paccc

    Well, if the latency is less than 300ms then it will take less than a second to place the order. Therefore, a move that lasts 20-90 seconds can easily be entered and exited in less than a second.

    - Paccc