The regulators might cut the minimum spread again....

Discussion in 'Trading' started by klin1997, May 16, 2010.

  1. klin1997

    klin1997

    http://finance.yahoo.com/news/Secretive-speed-traders-in-apf-2083674255.html?x=0


    "After the May 6 freefall, all manner of trading rules are up for debate. But it's worth noting that until recently regulators were considering cutting the minimum spread again, possibly to half a penny."


    Refer to this article, 1/100 spread might be revised and narrowed in the near future.

    Does it imply scalping will be history? Any comments?
     
  2. 1) Narrow spreads are good for "customers" and bad for "professional traders". You can still cluster your orders at "rounder" prices. :cool:
    2) Scalping would only be "history" if volatilty disappears. :(