07 February 2012

Stock Market Termination - Rise of the Machines

  • As a follow on to the previous post and for the uninitiated regarding HFT (High Frequency Trading).
  • Above display has the date in the bottom left corner.  The date scrolls forward one day at a time, from 2007 to present, and you'll see the activity level of the HFT Robots in the past few years.  
  • It should frighten most people.  Yet, most are completely unaware.  Ahhh, ignorance is bliss I suppose.  Yet, the average investor continues to wonder why they keep getting boot-stomped!
  • This is not your father's stock market.  
  • For you average investors, I only bring this up to show you what you are up against...a brutal machine more interested in taking your dollar than allowing you to increase the value of it for yourself.  
  • For the experienced traders, it sure has become interesting hasn't it?  Swift adaptability has become exceedingly crucial.  We will adapt.  We will survive.
  • You can read more here on "Skynet becoming self-aware".
  • Below is a reminder of the market psychology curve of the average investor.  Where are we now?  And of course, with the European Central Bank's LTRO (pumped by our Federal Reserve and the recent dollar swaps), maybe this moon shot can continue.  However, the market psychology model should be kept in mind.  POMO history review.... here.
  • Good luck!
  • Oh...and by the way, North Dakota oil production just keeps banging it outta the park!



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