I donno why the SEC tries to make it so hard for Daytraders - we provide liquidity! I wonder how the market would if daytraders were given the same powers and privileges as market makers however able to keep the current flexibility. (no forced bids/asks)
no. they don't understand markets from a market-making perspective -- they're more like market predators. no commitment to market integrity or depth -- only to picking it off.
Hard to imagine that a group which almost always wins (Market Makers) could be replaced with a group which almost always loses (Day Traders).
Its funny to me, daytraders think they are providing a service, when they are just clogging up the market. Institutions on both sides would really like to see them gone. Do they really serve a purpose?
Who among us in the market serves *any* purpose. Daytraders just add to the noise... which without them, there would still be plenty.
The way I see it, people making money contribute to the efficiency of the markets, people losing money pay the winners to keep it up. So yes, we all serve a purpose