Hey, don't blame me. That's what I and hundreds of other prop traders were TAUGHT to do. And it worked whether it was "honest dollar" or not. In fact, I don't even know if there is an honest way to make money in the markets. My "front running" short sellers with a lousy 400 share lot for a mere 10 cent gain is not as bad as the countless fake bids/offers, continuous bid/offer refreshing, and the radical up and down spreading by the specialist. Anyway, my point is that all the tiny edges that the little guy had is being removed one by one. ie. price improvement, nx limits (I could barely get a piece of the size anymore since now some big shot can get up to a million shares at one shot), and now the elimination of the short rules will not only take our so-called "front running" edge away, but now big short sellers can just pound away at market with their orders and you'll never know that there is a short seller in the stock that you are long. It's crystal clear that everything that is being done is for the benefit of the big players. You bet I will adapt.
AHAHAHAHAH Right, when specialists, MMs and hedge funds did those tricks, it was ok and was an honest way to make a dollar. When the small time scalpers did it, it was no longer ok. I'm on your side but don't make such extreme statements. Scalping shorts was nothing more than a gimmick but nowdays it's just a small edge that helps to make an extra buck with minimal risk. It was a way to make great money for a few years. A parasitic way? Sure. Thats the financial industry. The overall point is: Yes, the big boys are going after the small timers. I have said this many times, over a period of time. Every rule & regulation in the last 6 years goes to confirm this. So like HoundDogOne said, "Evolve or die". Of course, either way you put it, it's gonna be harder and harder to scalp out that same depreciating dollar. Enjoy!!!
Shows what you know. The minute all these stock become shortable, Larry Livingston will start tanking the entire market again!
I think there is actually something to this. This pilot took place during a pretty decent bull market, so I'm surprised that they feel they have enough data to conclude that the uptick rule isn't necessary. If we had a market that was down 10-15% and these stocks held up well, that would be a different story. I mean, that's supposedly why the rule is in place to begin with, to limit the downside in bad markets, isn't it? I'm not saying I think it is necessary, just that they seem to have made up their mind to get rid of it no matter what the results said, at the urging of the big boys.
I am exactly, precisely a "real quant"... And you are not only a "real crook"... But an uncouth lowlife as well.
How is you taking advantage of market inefficiencies trading the way you trade any different than a NYSE trader taking advantage of inefficiencies trading the way they do?
I agree with the tone of the last question. After the ipo or a secondary offering we are all dealing in speculation. I frankly do not see where Buffet or anyone else feels their style is morally superior to anyone elses style. In the stock market you are not raising money for the companies you are speculating in an attemept to have a more favorable price a a later time. Whose to say making a quick 40 bucks in a secondary market is somehow worse than making a long term 40 bucks.
you could also say short sellers actually dampen moves to the short side. because who is more apt to going to bid for a falling stock, than the honest short seller covering his profits? somebody has any news on when this uptick rule finallky will be abolished?