Have your ever heard about latency arbitrage?

[Joseff]

In a few words, you make money due to the difference between price feeds. It a cool way to make money, however, is it available for the regular traders with 20K trading capital?

Regards,

Josef

 

[bbmac]

This used to be good a few years ago with certain Broker/SB combinations but most Brokers/SB's have got wise to it now and latency has improved wiping out the edge to a large extent. I don't know to what your question about it only being available to a/c's over 20k margin means ?

G/L

In a few words, you make money due to the difference between price feeds. It a cool way to make money, however, is it available for the regular traders with 20K trading capital?

Regards,

Josef

 

[Joseff]

This used to be good a few years ago with certain Broker/SB combinations but most Brokers/SB's have got wise to it now and latency has improved wiping out the edge to a large extent. I don't know to what your question about it only being available to a/c's over 20k margin means ?

G/L

Thanks for your reply.

Latency arbitrage exists and works. But it works for lager banks, hedge funds. They trade with millions and able to place their hardware next to exchange. Their average execution speed is less than 1 microsecond. Monthly hardware costs - $ 100.000.

Thay's why I asked about 20K trading capital.

Regards,

Josef

 

[maxima]

hedge funds arbitatging spread bet firms? i'd like to buy some pot from you please.

 

[jeremiahkn]

Thanks for your reply.

Latency arbitrage exists and works. But it works for lager banks, hedge funds. They trade with millions and able to place their hardware next to exchange. Their average execution speed is less than 1 microsecond. Monthly hardware costs - $ 100.000.

Thay's why I asked about 20K trading capital.

Regards,

Josef

Hi Josef,

I am interested in this topic, i previously used latency arbitrage software and made massive profit at forex.com,gkfx.co.uk, activetrades and many other brokers, however the problem is the broker won't let you win for long, after few days, weeks or months they will either blocked your account or changed the trading condition so the latency arbitrage software can no longer work, and it is very difficult to find a broker who can let you win all the time.

This latency arbitrage hardware of 100,000 per month, where can i find any information about it? Can you help me with this?

Regards,

J

 

[dameonStar]

Heard about it some years ago and actually know some traders who made money and retired:smart:..
Right now its a little harder and less profitable than then

The best part is that there is nothing illegal about it

Dameon

 

[perox]

Thanks for your reply.

Latency arbitrage exists and works. But it works for lager banks, hedge funds. They trade with millions and able to place their hardware next to exchange. Their average execution speed is less than 1 microsecond. Monthly hardware costs - $ 100.000.

Thay's why I asked about 20K trading capital.

Regards,

Josef

Interesting post Joseff. Just got to know about this.

 

[Rambo35]

Is that not what HFT does which is why they try to have their servers as close as possible to the exchange servers in order to capitalize on fractions of moves before most other traders see their screens update?