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High Frequency Trading gets high frequency attention

 Aug 03, 2009 07:40 PM UTC
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Graphic_arrow1 Via BloggingStocks:  

Filed under: Technical Analysis, Stocks to Buy

The post was written by Minyanville Contributor James Anderson



High Frequency Trading (HFT), which is the use of computer models to enter trades, has received a considerable amount of attention in the blog space as well as the financial press. There are number different styles of HFT, but the most important part is the speed at which these trades are entered and executed.

The fastest possible computers are located adjacent to the computers that receive orders at the stock exchanges, and I when I say adjacent, it's not the building next door, it's literally feet away. This world operates in milliseconds, and even the speed of light in a fiberoptic cable is not fast enough for anything other than colocation.


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High Frequency Trading gets high frequency attention originally appeared on BloggingStocks on Mon, 03 Aug 2009 14:40:00 EST. Please see our terms for use of feeds.

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