If I knew who was on the other side of my stuff, I would probably freak out. So, I'm glad I don't know. When I traded OTC and could hear the counterparty trades clear on the squawk, I saw plenty of hedgies do really stupid shit, so that is of little concern to me.
cept they started out with $3.56 and now they could buy you and your ancestors back to the cave man, and still have money left over to buy elite trader, stocktwits, and maybe the street.con.
in answer to the op. yeah , if you learned how to trade 10 years ago, you will have a problem. if you're just starting out, you probably wont. You are posting too soon after your last post. Try again in a few minutes. You are posting too soon after your last post. Try again in a few minutes. You are posting too soon after your last post. Try again in a few minutes. You are posting too soon after your last post. Try again in a few minutes. You are posting too soon after your last post. Try again in a few minutes. terrible code here
It's getting easier, as ddav has proved: http://www.elitetrader.com/vb/showthread.php?threadid=214316
Ohh.. thank you Frank, but that was not funny I wasted 10 min of my life reading through that stupid thread.
It is getting much easier for paper traders because they have access to many free tools and it is getting much harder for actual traders because they need a lot of money to get the tools they need to compete with hedgies. Actually, trading is not hard but setting up a reasonably equiped operation that can compete with professional shops is hard in terms of investment capital.
Your premise is entirely predicated on a strategy competing within the higher frequency or automated space. There are other strategies where this is simply not the case. In fact, I would maintain that it now makes more sense than ever to step away from the HF turbulence.
Hi intradaybill My question was only targeting ATS, is it getting tougher to create and maintain a good strategy nowadays? I wasn't asking about what was needed to in terms of equipment. Lets say I've access to all the software needed Can we amateurs still hold up with the pro algos?
"Us against the machines" is a red herring. Us agaisst research and trading departments staffed with highly paid brains with graduate degrees in math, physics, statistics, psychology, etc. is the reality. People create robots. Can you beat them? The answer is yes but you will have to do something out of the ordinary. That was my point. David beat Goliath, that is true. Do you know before that and after that how many were beaten by Goliaths?
IT depends on the type of strategy. If your strategy deals with range or chaos the range in all investment markets have changed over the years. If your strategy is dealing with trends then a trend is a trend until it bends. I have multiple strategies. But I have a trend strategy I backtested to the 80's and it worked all the way through all the previous crashes and it works in current market. So it depends on the type of trading your doing and range trading works in current market but you may have to readapt the strategy in later years.