Bucket Shop Arbitrage

Discussion in 'Forex' started by Sodajerk, Aug 22, 2009.

  1. you are really stupid even after it was explained to you 5 times , lol


     
    #31     Aug 23, 2009
  2. maybe you should shut up because it very obviously worked. The shops have caught on as mentioned before and to catch couple nice pips arb is rare in between, I am sure there still are couple guys who run APIs on several of those brokers and look for "opportunities" but per "revised policies" such activity can even get you get kicked out nowadays.

    But coming here with this loser attitude and claiming this is all bull makes you look increadibly dumb. It did work and some have made a lot of money off those shops.

     
    #32     Aug 23, 2009
  3. ...well it kind of is about that: If prices were not lacking where do you explain the pice difference to originate from?

     
    #33     Aug 23, 2009
  4. he never claimed nor did he promise you to deliver all the goodies to under your nose for you to snort away, you fuxxing moron!!!


     
    #34     Aug 23, 2009
  5. first critical remark post that makes a lot of sense and for those reasons (plus others) it does not pay anymore to engage in this game but it worked very well.

     
    #35     Aug 23, 2009
  6. the OP is simply trying to start a discussion about
    this and never he has said he is runnig this litle
    thing live, he has nothing to proof and is only asking
    for opinions

    no need to bash him

    here is where i see the problem,

    these kinds of startegys do work in know from
    experience. a have a friend who has used a similair
    strategy to place sports-bets. he had many accounts
    at various bet-brokers, for each sportgame he would
    find the 2 brokers with the highest spread between them
    and place and order for x to win the game at the lowest
    spread broker and an order for Y to win the game at the highest
    spread broker. whoever winns it didnt matter to him, because
    he was on the winner side allways du to the spread difference.

    downside, he needet many accounts, at each broker one
    account so he was able to choose the broker where he
    find the highest spread in winn/loss rate.
    that mean funds all over the internet and the bets where
    rather small therefor the winn also

    i think the same can be done by fx bucketshops but i see
    a problem in the execution of the entry's and exits.
    this must be automized in order to be fast enough to be
    able to advantage from this spread difference.

    as far as i know there is no api-trading for bucketshops

    ( ps is it even called broker for sportbetting )
     
    #36     Aug 23, 2009

  7. Let me get this straight. You are a BSD bank prop trader yet you are also a bucketshop arb player for nickels and dimes?

    Yeah right. One of the above descriptions is false. I'm guessing, given your ignorance of the OTC options market, that the false one is "big bank prop desk trader." The "prop" in your name must mean that Velez has opened an office in Dhaka.

    Retail dealer arb only works for small amounts. Whenever a dealer catches you at it, he will shut you down. So you have to keep moving acocunts. And it is a short gamma game, you reliably win small amounts until you hit a dealer who refuses to give you your money back and then you lose that entire account.

    Maybe you should shut up until you learn a little bit about the field.
     
    #37     Aug 25, 2009
  8. Sodajerk

    Sodajerk

    How would your bucket shops ever figure out what you're up to, given that each of them only sees one side of any given arbitrage?
     
    #38     Aug 26, 2009
  9. lol, play the ball low, you make a lot of accusations without the slightest material evidence.

    I never said I arbed those guys myself, because I know of it and that it worked before means what precisely? Even if I did I could have done it in my own personal trading account with automated
    code.

    And where is your "ignorance of the OTC options market coming from"? I never traded retail OTC fx options, spreads are way too wide, so what?

    Your gamma comparison lacks any merit...not sure what point you tried to make...

    A big mouth and really not much behind...all I can say



     
    #39     Aug 26, 2009
  10. its pretty easy to figure out when someone scalps you for a few pips. Plus it shows on their p&l very soon because they need to hedge themselves in the market pretty regularly.

     
    #40     Aug 26, 2009