12/29/2012

Day Trading Stocks - NEW School


High-Speed Traders (HFT – High Frequency Trading) Race to Fend Off Regulators

The Wall Street Journal – December 27, 2012
Writers: Jenny Strasburg at jenny.strasburg@wsj.com and Scott Patterson atscott.patterson@wsj.com

My Introduction:
Most traders wonder, what the hell is High Frequency Trading (Traders – HFTs)?
The answer to the question is both simple to answer and, at the same time, a mystery.
It’s simple to explain: traders, using unique software and extremely fast data feeds, both of which are neither affordable or location practical for the average day trader, make extremely fast trades, split seconds, with huge lot sized, for pennies and more gains.
HFT is a mystery because we have never used their software and don’t really know how HFT influences the markets – can only guess, at this point in its history.

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