involves the use of automated trading platform that uses computerized algorithms to transact a large number of orders at extremely high speeds.
In the world of high-frequency trading
, time really is money, so it makes sense that such customers would be willing to go to extreme lengths to get as much performance out of these chips as possible.
, or the act of using electronic trading to act immediately on fluctuations in stock prices, has undergone recent criticism.
In essence, Lewis warns that there is the danger (perhaps even the reality] that high-frequency trading
means that the US stock-market is rigged.
He's talking about "HFT" or high-frequency trading
. High-frequency trading
is incredibly quick trading performed by sophisticated software programs.
As to critics' complaints that the SEC is not doing enough when it comes to high-frequency trading
, White said she doesn't believe that's true.
The rules also seek to ban unregulated trading and establish tighter rules for high-frequency trading
, which some blame for increasing volatility to a point that threatens the stability of financial markets.
"What Do We Know About High-Frequency Trading
?" by Charles M.
firms are currently struggling with low volumes and volatility due to tightened competition, strict regulations and low interest rates.
must be regulated to discourage abusive and manipulative practices on financial markets, warned Finance Watch, on 4 September.
Perez is widely regarded as the preeminent speaker and networker in the specialized area of high-frequency trading
. He is the author of The Speed Traders, An Insider's Look at the New High-Frequency Trading
Phenomenon That is Transforming the Investing World (http://www.thespeedtraders.com), published by McGraw-Hill Inc.