I forsee some type of limits or taxation on black boxes. This crazy volatility is the work of 1000's of mindless automated black boxes. There needs to be some type of penalty for throwing out over a certain amount of orders per day. The actions of a few will cause regulation for all of us.
there is just too much uncertainty in the market, hence the volatility. i would not blame black boxes on the wild swings we have had.
You have it backwards, the high volatility has caused 1000's of black boxes to be turned off. Those missing 1000's of black boxes make the markets even thinner and more volatile. It is a positive feedback loop.
If you call a high 6 figure year failure then yes i have failed. WHAT I'M SAYING IS THE BLACK BOXES CAUSING THIS MASS VOLATILITY WILL CAUSE REGULATION ON THE MKT SUCH AS A TRANSACTION TAX TO TRY TO HALT THE WILD SWINGS. I love the volatility.
Count me out. I'm always amazed at the liquidity in equities. Hundreds of automated traders trying to compete for my order by shaving off microseconds to get ahead of their rivals. This is a drumbeat started by the sell side to go back to the bad-old days, when you had to trust some guy named Vinnie with your NYSE order.
Do you even understand what a black box is. It's such a generic statement, and the whole idea just doesn't make sense at all. What would distinguish a system running in Tradestation from a "black box"? Would it be the frequency it trades, cause I have some automated strategies in X-trader that I turn on pretty often. So is it frequency, whether you have a dedicated server, the software you run it on, the products you trade, what exactly is it that's "destroying the markets". To be honest I think it's a super dumb statement which kind of portrays that you don't really understand what makes up the fabric of the modern capital markets: many thousand individual minds, systems, strategies, spreaders etc all trading different timeframes and going about their stuff trying to make a profit.
All the black boxes in the world won't help you. The problem for hedge funds is that they really "got into" groove during Bull market of 2003-2007 and bull markets are the worst time to learn to trade because you get all kinds of bad habits(assuming you play almost exclusively on the upside which most people do) and when the market inevitably turns sour people scream "the market changed!" Black boxes, "sophisticated statistics" all won't save people from the market calamity. Understanding of price action will.
I'm sorry, this is not meant to be a slag, but I recall you're saying that you can do 100% a day with relatively few problems. As a result of reading this post, I am now convinced that you don't actually trade real money.