Algo Trading Daily News Scan by Alpaca - May 14th 2018

Algo Trading Daily News Scan by Alpaca - May 14th, 2018

The Top Algo Trading News Stories and Headlines From Around the Web

Algorithmic Trading and TCA Adoption Driven by FX Global Code


“Today the speed of trading, coupled with the number of venues and increasing variety of order types, make it impossible for a human trader to replicate algorithmic behaviour on one order, let alone if the trader has multiple orders to trade simultaneously.”


Algo Traders Warn U.K. Over MiFID II Rules


“Financial firms are pressing the U.K. to stick as closely as possible to the European Union’s MiFID II restrictions on algorithmic trading, warning the Bank of England against imposing even tougher rules on the industry ahead of Brexit.”




“It is a little like a meteorologist looking at two weather systems and seeking to predict how they will change over time, and how they might interact with one another. To stretch the analogy, when you try to decide on the best currency pair for Forex trading, you are selecting two out of more than 100 different weather systems to pitch against one another.”


Why Algorithmic Trading Really Works


“People often ask how I got my start. They typically want to know how I became a ‘system trader’ — it’s not the sort of job you hear about at a school careers night.”


How to become an algo trader


“Knowing the data structures, algorithms and C++ or another programming language inside and out is critical. That attribute is not easily available, and people really value that. Most [financial services and fintech] firms will hire a great programmer without trading experience over a mediocre programmer who knows trading.”


Automated Trading Broadens Accessibility to Crypto


“While traditional asset markets like stocks have set trading hours and no weekend trading, cryptocurrency prices move around the clock, every day of the year. For most investors, staying alert and monitoring an investment portfolio around the clock is not just unfeasible, but also impractical. While automated trading has been around for years, it was largely inaccessible for most ordinary traders, remaining in the purview of sophisticated investors until this point. However, in keeping with the democratization of finance instilled by cryptocurrency, algorithmic trading is being simplified for mass-market consumption.”