Ask any equity trader who traded in 1/8th's and 1/16ths back in the day. They will tell you how much better equity trading was. If the SEC is wise and does go back to 1/8th's equity trading will explode again. I started in 1992 and traded through the change to decimals/pennies. Shortly after the change went into futures and never looked back. I'd be willing to bet a lot of guys would go back into equity trading, getting the volume back and making equity trading a whole lot better. Also you wouldn't see anymore of these flash crash bullshit moves in stocks.
The data Feed was still decimal those days and they could use any fraction breaking the penny barrier except for retail. Two things were different - computer had to submit order converted to fraction and retail had limit from broker what fractions they could use. I do not see fractions coming back. This SEC guys are clueless and want to hold on to headlines because they do not know what and where to regulate. Any simple solutions suggested by independents would hurt their friends hence the SEC Department of Silly Ideas is on the loose.
Bastards in DC, Wall Street, Main Street are relentless in sucking out the last penny from an average joe. US is ripe for some hard baton beating the greedy bastards in the above mentioned circles.
Check the constitution. If it is legal it is OK to take the last penny from average Joe. This is America. There are other countries where fairness is being practiced so you may want to check there.
They should have originally switched from teenies to nickels. They shouldnt go back to fractions but just widen the spread to 5 cent increments. Maybe even a case for going back to 10 cent increments.
That's how it is over there. Surprisingly, the people who don't belong to this group seem to be pretty happy with being screwed over (or maybe just brainwashed to thinking they're not as talented).
Checking the constitution is only for Morons! No reason to check the laws made by mafia on wall streets or DC or through efforts of lobbyist groups. Only thing is, in America, wrong laws are made to look legal because they are made by the elected mafia in Congress.
Then start the revolution or better yet have preview and go to China, North Korea or wherever fairness for everybody was declared and check if average Joe is better off there.
There are average Joe's and then there are idiot average Joe's. The support from these idiots are the reason why laws end up being made by the predatory mafia of politicians or politicians in cahoots with the mafia, that prove 'not fair' for all the average Joe's. No need to start a revolution for the victimized idiots. Even with some revolutionary changes and help, idiots will always find ways to get victimized.
Bringing back fractions would be great! Most of you are donât know or remember the days of the SOES (Small Order Execution System) and the beginning of Island. Everything was traded in fractions, volatility was awesome and if you had a set of balls you just bought or sold anytime a stocks spread up or gaped down! Spreads were sometimes more than a point and at 2 cents a share, commissions were not an issue. Hell I even make 50k in one month trading DELL (DELL swung 10 points every day) while paying almost $100 per trade. You made money and there was always opportunity. It was pure momentum and market making. Either buy strong stocks or be willing to take the other side of the trade⦠All of you traders that whine about commission costs, lack of volatility and general difficulty in scalping this market need to prey that we all go back to fractions. Tight spreads have destroyed volatility and commissions are eating more of your profits. Anyone who has been around knows fractions would make this a great day trading market again. Damn, I miss the days of the tech bubble days and the trading shops in NYC! Broadway, Shonefeld, World Co, and all of the other ones that created the proprietary trading community.