Back before the era of central bank manipulation began, circa 2014 - 2016
depending on the specific market, the criteria for finding & then trading a
financial market was pretty easy … what hours do you want to trade & what’s the
volatility, then figure out what it cost you to trade it … simple … today, not so
much cuz the manipulators are ever changing the game midstream … enter the
HFT’s [three of the largest are BlackRock, Virtu, & Citadel], the use of crypto, and
suddenly THINGS “they are a changin’ quickly”!
Now, it’s not happening all at once across the board, but it is happening in markets
that traders trade the most often, cuz that’s where the money is at … I’ve already
highlighted the 5 FX pairs, where at Turnkey & Coinexx the bid/offer spreads
+ commissions have never been lower than they are now, and are very close to
about as low as you can expect them to go … and while there have been “hints” at
times that the HFT’S are moving into metals, they either aren’t sure the move is
worthwhile [read money making], or are having problems with the bullion banks
and cross platform trading & execution … whatever, they obviously aren’t ready
for prime time yet.
As I’ve mentioned before, for FX & stock indices [not all but the most popular
ones] Coinexx uses Turnkey’s IT subsidiary bridge for LP’s … traditional
scumbag bank LP’s … and now, offshore brokerage houses are beginning the
battle to line up HFT’s and use their proprietary systems as LP’s cuz they undercut
the scumbag banks by a wide margin … and so it was I noticed last week that
Coinexx bid/offer spreads in stock indices started to come down … more so in
the DAX30 & NDX100 than any of the others, cuz some stayed the same and
others only went down slightly … and so it prompted me to start making some
calls … and after some investigative work, bottom line is this … the HFT’s have
moved into the indices arena … so I moved a small amount of BTC into Coinexx,
traded the DAX30 on Thursday & Friday and suffered no discernible slippage
with a spread right at 1 index point … “knock me over with a feather”, cuz they’re
using Turnkey’s HFT bridge servers! … that means Turnkey SHOULD be the same.
OK, some more phone calls later, and I’ve been “assured” the latency &
spreads/fills are excellent … how many times have I heard this before? … the
difference, though, is it isn’t the addition of more scumbag LP banks into the
liquidity provider pool, it’s the HFT’s … so, can I FINALLY get an honest & fair
market in the DAX30, without getting murdered & raped on most fills? … we’re
about ready to find out, cuz as I told some brokerage house execs, “this is your
LAST CHANCE to make good on promises that turned in every case in the past
to have been LIES … screw me one more time, and I’ll never talk to you again
… period”! … so, we’ll see as I add back both the DAX30 & NDX100 back into the
tradeable mix along with GBPJPY.
Quite frankly, I’ve had it up to my ears with this “market hopscotch” BS that’s
gotten foisted upon me by greedy, scumbag bank LP’s where they are constantly
adjusting and changing my cost of doing business in any and all MT4 and/or
MT5 markets … a good example of this in FX is primarily gold, but EURGBP &
GBPCHF come to mind as well … and when I call them on the carpet about it, of
course all I get in return is “duh, market conditions, duh” as their SOP [standard
operating procedure] excuse for EVERYTHING … finally, FX in the 5 pairs of
EURUSD, GBPUSD, USDJPY, EURJPY, & GBPJPY has gotten to the point of where
it should have been years ago … better late than never I suppose.
But the problem in FX these days is one of consistency … ranges & IVIX INDEX
levels are all over the map day-to-day and week-to-week, from piss poor to
extremely chaotic & troublesome … and making matters worse, it can go from
one extreme to the other in seconds or minutes … and as the IVIX INDEX LEVEL
TABLE DIRECTLY BELOW will show, lately the DAX30 & NDX100 are exhibiting
high volatility … one close to ideal [DAX30], the other [NDX100] oftentimes simply
too volatile for proper risk control.
Directly below, last week’s IVIX INDEX levels & 20 Day Range MA’s for DAX30,
NDX100, & GBPJPY. [Please read the footnotes!]
I’m hoping I can keep these 3 markets in my trading mix going forward … the
trading algorithm works phenomenally well in all 3 pairs … all 3 are good markets
if you can get 1) low bid/offer spreads & LOW RT commissions, and 2) NO [or very
little] SLIPPAGE … and right now all 3 fit the bill, with NDX100 getting very close to
being almost untradeable at times it’s so volatile … for me, it’s an option, but I’ll
mainly be looking at & trading GBPJPY and/or the DAX30 … so, we’ll see what
happens, and if in fact things have changed with the DAX30 or it’s all a bunch of
brokerage house mumbo jumbo basket of dog poo.
… until tomorrow … Onward & Upward!!
-vegas
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