Re: OT: high frequency trading

I concur with your point regarding software slowness.

Even your slowest switches may not add more than a few microseconds of delay.
I would make sure the code they are writing is lean and mean and the
servers super fast.

On Fri, Feb 12, 2010 at 10:51 AM, Joseph L. Brunner
<joe_at_affirmedsystems.com> wrote:
> Actually most shops send the orders to different exchanges and black books and of course arbitrage between the price differences they can exploit.
> The can often find liquidity before anyone else knows it exists, and they can send orders our for a very short time, of course pulling them if they don't get the price they want...
>
> It's kind of a nice study to work with these guys- they do eat the slower players lunch (that may be software not just location based slowness).
>
> Pretty much all the major players are already at the exchanges and therefore you have to do it.
>
> -Joe
>
> -----Original Message-----
> From: nobody_at_groupstudy.com [mailto:nobody_at_groupstudy.com] On Behalf Of Gregory Gombas
> Sent: Friday, February 12, 2010 9:17 AM
> To: Anthony Bonilla
> Cc: ccielab_at_groupstudy.com
> Subject: Re: OT: high frequency trading
>
> Tell them it won't matter anyway because whatever slight edge they
> will get over their competitor by collocating at the exchange will
> disappear once their competitor does the same :-)
>
> On Thu, Feb 11, 2010 at 10:23 PM, Anthony Bonilla
> <anthonybonilla.ccie_at_gmail.com> wrote:
>> Hi all, I am back again. Have a question regarding high frequency trading.
>> We are planning on collocating at an exchange for trading and are looking
>> for doing lowest latency possible. I wanted to see if anyone else is doing
>> this and if there are any recommendations. I am currently thinking about
>> 4900M and nexus 5k (layer 2) but am interested in seeing what others have
>> done and whether there are any best practices from cisco to ensure that we
>> achive lowest latency. TIA.
>>
>>
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>>
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Received on Fri Feb 12 2010 - 11:02:02 ART