Investment banks who operate HFT trading don't want to probe the market with a large order because their HFT fucks it up. So, they rely on "dark pools" to circumvent their HFT, to move size without stepping on an algo-trap laid to ensnare smaller investors. Is that what you're defending? Besides being totally opaque and non-transparent, Investment Banks are the only players with the resources to engage in HFT AND Dark Pools. Retailers can't. Investors can't. Even medium-sized operations can't. That gives Investment Banks a HUGE EDGE when it comes to speculating. Front run the weak(er) hands with HFT, then sidestep their front running with Dark Pools. Not only is that completely hypocritical (good when they do it to us - bad when we do it to them), but it's Win-Win for them (IB's). Lose-lose for us (retailers). Investment Banks slanted the tables in their favor (once again). And you openly support it. What of fair markets, and transparency? The CNBC dude is right on every point except the "Mom and Pop" class-warfare junk. Its heartening to see ET'ers and media big wigs finally call a spade, a spade. Bankers Run Washington. You hear what that lady said in the video? They're crawling all over it -- WITH OUR TAX DOLLARS!! Just like Durbin said. Just like the other Democrap said. Bankers own Congress. Its Mussolini Fascism and they couldn't give a damn if they kill the Golden Goose. Credit default swaps being the smoking gun next to listless corpse. Anyone care to explain what uninsurable interest, is? No, that's not important...
They don't have to "give" anything away. Big Funds can use market orders. Same as everyone else. Or, they can use limit orders. And have their orders show on the book. Just like everyone else.
...................................................................... The issue at hand is "size".... Let's make it simple.... Let's say there is a block of 100 houses.... Each house is owned by separate individuals who are diversified in their opinions....The last sale creates the price for all.... Let's say there is another block of 100 houses....40 of the houses are owned by one person....60 of the other houses are owned by 60 diverse people.... Which market is actually a better market ? The person with the 40 houses has a liquidity problem.... The US has allowed the "out of balance" to fester such that the person causing the imbalance is also getting to make the rules.... This only makes the problem of a fair market that much worse.... This is what has happened to the securities markets..... There needs to be size limitations per account.... Whatever the market does....its number one priority should be to create as many small accounts as possible...diverse in scope....even on an international basis....equal small costs...fact based wiki information....ie 4:1 margin ....ON or intra...no account minimum or maximum.....no taxation of any kind....
When I heard the "Mom and Pop" line it reminded me of flytiger's ineffective methods of presenting his arguments.
That's really funny! Maybe they should just say that dark pools are charity work and they make no money off of them. That way running dark pools can qualify you for tax deductions.
In addition any mope here with 100k can open a GSEC mini prime account and have acces to SIGMAX dark pool and participate. Reg NMS applies to dark pools already.
I only trade futures, so not sure what this means. Do you mind dropping few lines explaining. Thanks, redduke
I haven't watched the video but yes, shares actually can be created out of thin air via naked short swindling, much the same way money is created out of thin air. I suppose you could say the US economy is just one big collection of thin air.