MIT Technology Review on the quant melt-down this past summer - and the crunching computational power they rely on
"Computers also underlie another developing frontier, high-frequency trading, which is a fantastically exaggerated form of day trading. The computer looks for patterns and inefficiencies over minutes or seconds rather than hours or days. An algorithm, for instance, might look for patterns in trading while the Japanese are at lunch, or in the moments before an important announcement. There is a massive amount of such data to crunch. Olsen Financial Technologies, a Zürich-based firm that offers data for sale, says it collects as many as a million price updates per day."
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