pit trading...why?

Discussion in 'Trading' started by killATwill, Jun 6, 2005.

  1. pit trading has always interested me. some questions...

    1) why would one pit trade when electronic exchanges are available?

    2) do pit traders put up their own money?

    3) how does a neophyte get started pit trading?

    4) if you become a successful pit trader, what's the pit trading learning curve like?

    5) what sort of skills do pit traders need?

    thanks
     
  2. 1. Information advantage and if you have friends you may get better fills, especially a broker friend. This advantage is disappearing as are the pits.

    2. Many do some work for a firm

    3. Buy a membership

    4. Similar to electronic trading, but pit traders and definitely a different breed

    5. Aggressive and quick thinker, similar to electronic trader but physical stature can actually help you in the pit
     
  3. thanks...a pit guy i know thinks he'll always be needed. is he delusional?