(25-08-2015, 01:20 PM)greengiraffe Wrote: [ -> ]Global market meltdown has been years in the making
sounds more like shooting the bullets first, and then place the target where most of the bullets are found.
HFT, isn't widely available across Asia Stock Markets, except in Japan, IIRC. Is HFT in ASX widely used?
(27-08-2015, 09:34 AM)CityFarmer Wrote: [ -> ]HFT, isn't widely available across Asia Stock Markets, except in Japan, IIRC. Is HFT in ASX widely used?
Published by the ASIC early last year, seems like its pretty prevalent in ASX.
====================================================================
Dark liquidity and high frequency trading
Findings
Our analysis showed that, while there is a considerable high-frequency trading presence in our markets – 27% of equity market turnover – the majority of it is done by 20 entities.
On the whole, we found that some of the commonly held negative perceptions about high-frequency trading appear to have been overstated, and were not supported by our findings. For example, the taskforce found that increases in order-to-trade ratios have been moderate compared with overseas markets, and have not been driven entirely by high-frequency trading.
Our analysis also showed that only 1.2% of high-frequency traders held positions for an average of two minutes or less, 18% for less than 10 minutes, and 51% for less than 30 minutes. This is contrary to the perception that holding times for high-frequency traders are typically a matter of seconds, or less.
We also found no evidence of systematic manipulation, or other predatory behaviours, from high-frequency traders, and while a number of discrete incidents required follow-up, these were the exception rather than the norm.
There was, however, some basis for the perception that high-frequency trading created excessive ‘noise’ in the market, although our analysis revealed that other traders using algorithms contributed to this problem.
(27-08-2015, 09:34 AM)CityFarmer Wrote: [ -> ]HFT, isn't widely available across Asia Stock Markets, except in Japan, IIRC. Is HFT in ASX widely used?
Hi CF,
Algo trading is now adopted across all markets including that on SGX. The never ending flickering of bid/ask spreads that one is seeing on covered wrts have already spread over to the entire SGX and that is the main complains of remisers...
Of course, I must be able to think ahead of computers in trading and investing...
GG
(27-08-2015, 10:24 AM)greengiraffe Wrote: [ -> ] (27-08-2015, 09:34 AM)CityFarmer Wrote: [ -> ]HFT, isn't widely available across Asia Stock Markets, except in Japan, IIRC. Is HFT in ASX widely used?
Hi CF,
Algo trading is now adopted across all markets including that on SGX. The never ending flickering of bid/ask spreads that one is seeing on covered wrts have already spread over to the entire SGX and that is the main complains of remisers...
Of course, I must be able to think ahead of computers in trading and investing...
GG
Hi GG,
With my limited understanding, there are distinctly differences between HFT, and algo trading. HFT, is an algo trading, but algo trading not necessary an HFT.
HFT, involves more than just traders. It needs co-location, and a premium trading fees, from local regulator, to work.
(27-08-2015, 11:44 AM)CityFarmer Wrote: [ -> ] (27-08-2015, 10:24 AM)greengiraffe Wrote: [ -> ] (27-08-2015, 09:34 AM)CityFarmer Wrote: [ -> ]HFT, isn't widely available across Asia Stock Markets, except in Japan, IIRC. Is HFT in ASX widely used?
Hi CF,
Algo trading is now adopted across all markets including that on SGX. The never ending flickering of bid/ask spreads that one is seeing on covered wrts have already spread over to the entire SGX and that is the main complains of remisers...
Of course, I must be able to think ahead of computers in trading and investing...
GG
Hi GG,
With my limited understanding, there are distinctly differences between HFT, and algo trading. HFT, is an algo trading, but algo trading not necessary an HFT.
HFT, involves more than just traders. It needs co-location, and a premium trading fees, from local regulator, to work.
I don't think HFT strategies of the ultra low latency sorts are prevalent in SGX.
The ultra low latency based strategies are effective in the US equities markets due to securities trading across many different exchanges and NBBO regulations.
For other strategies (i.e stat arb), speed might be needed to get orders to the market faster than others with the same predictive models, but latency is normally not the main driver of success.
Aiya,
So long as human against robots sama sama and its just another name...
Still create volatility...
I too old to debate about names especially since they change the whole paradigm of trading and takes advantage of the emotions of mkt participants...
GG
(27-08-2015, 01:46 PM)greengiraffe Wrote: [ -> ]Aiya,
So long as human against robots sama sama and its just another name...
Still create volatility...
I too old to debate about names especially since they change the whole paradigm of trading and takes advantage of the emotions of mkt participants...
GG
Ok lah, but we can't blame higher productivity with "robot" as long as both are competing on same ground, right bo?
Taxi driver (or Taxi companies) can't blame the invention of GrabTaxi, albeit the GrabCar is debatable...