Comments on: Sunday Thoughts From the Shark Tank http://www.smbtraining.com/blog/sunday-thoughts-from-the-shark-tank Wed, 08 Sep 2010 14:37:04 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: gman http://www.smbtraining.com/blog/sunday-thoughts-from-the-shark-tank/comment-page-1#comment-21748 gman Wed, 02 Dec 2009 12:56:33 +0000 http://www.smbtraining.com/blog/?p=2451#comment-21748 Tao, Thanks for the comment. Sorry I've been off the desk for a week or so working on some personal stuff and moving into a new apartment by the office. Things are hopefully back to normal. Will be blogging later this afternoon. As pops would say: "If you think nobody cares if you're alive, try missing a couple of payments"; glad to hear that's not the case! Happy Trading! Tao,
Thanks for the comment. Sorry I’ve been off the desk for a week or so working on some personal stuff and moving into a new apartment by the office. Things are hopefully back to normal. Will be blogging later this afternoon.
As pops would say: “If you think nobody cares if you’re alive, try missing a couple of payments”; glad to hear that’s not the case! Happy Trading!

]]> By: tao http://www.smbtraining.com/blog/sunday-thoughts-from-the-shark-tank/comment-page-1#comment-21704 tao Tue, 01 Dec 2009 13:13:49 +0000 http://www.smbtraining.com/blog/?p=2451#comment-21704 Where have you been GMan? Miss your blogs and tv appearences Where have you been GMan? Miss your blogs and tv appearences

]]> By: gman http://www.smbtraining.com/blog/sunday-thoughts-from-the-shark-tank/comment-page-1#comment-21121 gman Thu, 12 Nov 2009 22:10:03 +0000 http://www.smbtraining.com/blog/?p=2451#comment-21121 Patrick, thanks for a great comment. You described perfectly the way we must adapt to the dopey HFT algorithms. It has taken me a couple of weeks to adapt to this new pattern but I'm finally catching up to it.The bottom line is that if it looks to obvious of a setup on the charts then GS is all over that to screw the short term trader. So you must wait for the screw job and then lay into it hard. Seymour, no need to panic just yet. Yes there are no jobs out there but even though these are rough times in the industry, this is still the best job ever. Hang in there. Patrick, thanks for a great comment. You described perfectly the way we must adapt to the dopey HFT algorithms. It has taken me a couple of weeks to adapt to this new pattern but I’m finally catching up to it.The bottom line is that if it looks to obvious of a setup on the charts then GS is all over that to screw the short term trader. So you must wait for the screw job and then lay into it hard.

Seymour, no need to panic just yet. Yes there are no jobs out there but even though these are rough times in the industry, this is still the best job ever. Hang in there.

]]> By: Seymour Faikouts http://www.smbtraining.com/blog/sunday-thoughts-from-the-shark-tank/comment-page-1#comment-20885 Seymour Faikouts Mon, 09 Nov 2009 04:31:36 +0000 http://www.smbtraining.com/blog/?p=2451#comment-20885 How about we just find real work? Oops, I forgot, there are no jobs left. How about we just find real work?

Oops, I forgot, there are no jobs left.

]]> By: Patrick http://www.smbtraining.com/blog/sunday-thoughts-from-the-shark-tank/comment-page-1#comment-20883 Patrick Mon, 09 Nov 2009 03:57:20 +0000 http://www.smbtraining.com/blog/?p=2451#comment-20883 I heard you, even on FX pairs where the depth is much more profound I can see candidate patterns that suggest HFT manipulation, previous highs being breached by a couple of ticks before the move reverses, all in a few ticks. Naturally stop losses are piled up at these levels so its an easy arbitrage for the T-1000 et al. Then you've got Dark Pool volume, admittedly a bigger issue in equities where the depth is lower. If tape reading is like looking at the cars instead of the traffic light, then this volume is like an invisible mack-truck. The conclusion that myself and my associates came to is that intraday signals no longer are reliable due to the frequent painting of the tape, but the good news is that due to the reporting requirements of dark pool volume being constrained to the end of each business day, signals on the daily scale can work. This means you should either completely re-evaluate your firm's approach to the markets from daytrading to swing trading, or perhaps you could train yourself and your people to read the tape with an apprehension that the level will probably be violated on funny volume and still hold on the hourly scale. In other words, traditional concepts of technical analysis no longer apply, the point where you'd want to get out is now precisely the place you wnat to enter, since the HFT algorithms are ripping off all the folks following traditional TA. I heard you, even on FX pairs where the depth is much more profound I can see candidate patterns that suggest HFT manipulation, previous highs being breached by a couple of ticks before the move reverses, all in a few ticks. Naturally stop losses are piled up at these levels so its an easy arbitrage for the T-1000 et al. Then you’ve got Dark Pool volume, admittedly a bigger issue in equities where the depth is lower. If tape reading is like looking at the cars instead of the traffic light, then this volume is like an invisible mack-truck.

The conclusion that myself and my associates came to is that intraday signals no longer are reliable due to the frequent painting of the tape, but the good news is that due to the reporting requirements of dark pool volume being constrained to the end of each business day, signals on the daily scale can work. This means you should either completely re-evaluate your firm’s approach to the markets from daytrading to swing trading, or perhaps you could train yourself and your people to read the tape with an apprehension that the level will probably be violated on funny volume and still hold on the hourly scale. In other words, traditional concepts of technical analysis no longer apply, the point where you’d want to get out is now precisely the place you wnat to enter, since the HFT algorithms are ripping off all the folks following traditional TA.

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