I think I found a trick

Discussion in 'Trading' started by noob_trad3r, Aug 11, 2009.

  1. Thats the Obama trading plan....everyone deserves equal profits. That will get tackled after health care. :D
     
    #11     Aug 11, 2009
  2. monti1a

    monti1a

    [​IMG]
     
    #12     Aug 11, 2009
  3. Lucrum

    Lucrum

    Great, as long as you don't start "turning tricks" on the street.
    :)
     
    #13     Aug 14, 2009
  4. This price behavior reminds me of something from an interview with Nassim Taleb:

    http://www.derivativesstrategy.com/magazine/archive/1997/1296qa.asp

    "I was obsessed with price formation. I couldn't understand from the screen how prices were determined. It took me six months to be able to read prices in the pit. Locals basically read information from the order flow and squeezed the weak party. There's always a pack of five or six dominating locals who abruptly change the prices, who bid a lot higher than the previous offer and have the guts to do it, and the rest of them follow."

    "I learned that traders' income is not the bid-offer spread, but the micro-squeezes that take place. Markets move from squeezes to squeezes."
     
    #14     Aug 14, 2009