Black boxes destroying market for everyone

Well you need to learn to read then. I never said I can do 100% a day I dont measure performance in single days. I said I can do 200%-300% in a few days (and not one year).

I am attaching a screenshot. A position of 4 november BRS 25.0 puts which I announced some time ago went from 2.00 a put to 3.80 a put.

Then I lost money on CRK for the simple reason that I could not sell it when it opened at 33 and change because optionsxpress site was non responsive.

 

Sure. Let's start by limiting your trading. $50k margin per Spoo contract and no more than 1 roundtrip per week. Anything beyond is clearly "mindless" speculation and adds no lasting economic value.

 

This little piggie went to the Market. This little piggie got roasted.

 

I do think you will see the elimination of pure straight shorting. There are many ways to hedge your long posistion now through options/futures/ETF etc etc.

The ability to send massive sell orders on one stock which drives it into a "death spiral" is something never anticipated or possible before the advent of the computer based trading.


Fundamentally you are selling something you don't own...

The rapid demise of BSC, LEH, FNM etc is going to have large unintended consequences....much more and much tougher regulation....

And, institutions are going to realize that loaning their shares out to BD's for shorting inventory is not a good idea.....sure they make a little interest but their stock is down $20, LOL....


Not making a judgement....just a prediction....


SteveD

 

black boxes are good for small traders.

black boxes exaggerate proper entry signals for larger profits.

your risk is lowered because you need to make fewer marginal entries.

 

Come on now damnit........I LOVE BLACK BOX SYSTEMS!!!!!


http://www.youtube.com/watch?v=D8K90hX4PrE

 

But you don't think they could ever regulate shorting futures? That would not be possible?

 

Which computers systems were selling in 1929?

 

At this point, I would think ANYTHING is possible. Although they'll never admit to their own lax regulation on subprime lending, they'll nevertheless use that as an excuse to blame the shortsellers as the real culprit to the current crisis.

 

But in the futures market there is not a fixed amount of contracts. There needs to bee a seller for every buyer. So it would not be possible to regulate short selling in futures-market? Or am I compleatly wrong here?