How Computers Took Over Trading | Forex Factory

  • How Computers Took Over Trading

    From bloomberg.com

    The malfunctions that froze trading on the Nasdaq Stock Market for three hours this afternoon -- just two days after options markets were roiled by mistaken trades sent by Goldman Sachs Group Inc. -- are the latest in a series of high-profile mishaps most likely triggered by errant computer programs. There is a perverse irony to these high-tech mishaps: When Wall Street originally embraced computers in the late 1960s, it did so in a desperate attempt to eliminate trading errors that had, by decade’s end, grown so serious they would help destroy hundreds of companies. The problem lay in what was known as the “back ... (full story)

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Aug 23, 2013 3:17am
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the arbitrage high frequency automated trading systems is a healthy addition, not a threat, regular trading could only be achieved by humans, without their constant input and monitoring those systems are worthless,

That is the reason why there is no billionaire who created successful automated trading system
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Trader#5A7C
Aug 23, 2013 4:02am
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the only ones that benefit from HFT are the marketmakers and brokers, more trades = more profit
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