Category: Reddit Post

Set & Forget?

A few years ago, a dedicated discussion on algorithmic trading took place at the FX Week Europe conference. Participants from Goldman Sachs, Deutsche Bank, and other market players emphasized the need for traders to ensure more proper monitoring of their orders when using algorithmic execution. They cannot afford to be passive. “Buy-side traders with a SET & FORGET approach to using algorithms for executing their currency orders may need to rethink this. With the shift of risk to the buy-side, it’s important for traders to be more proactive about how their orders are executed in the market.” What threats could this pose? **Increased Risk**: Due to the rapid nature of transactions executed through automated systems, market shocks can quickly propagate across markets at a much higher speed. **Over-Optimization**: Despite the ability to test the capabilities of algorithmic trading platforms before conducting real trading operations, there remains a risk of overfitting to specific trends. **Maintenance Issues**: An algorithmic trading platform requires operational hardware during trade execution. Dedicated computers, servers, and connections are necessary to ensure the system works correctly. **Monitoring**: Due to the risk of errors, failures, and power loss, automated trading systems require monitoring. Nasdaq recommends that traders create monitoring and observation teams trained to use both visual and audio alerts. The SET & FORGET approach is applicable exclusively to professional algorithmic portfolio management services, with a dedicated team responsible for regular control and checks. This team should include representatives from trading, client services, compliance and documentation, risk assessment, and credit departments. And even there, as we all know, things regularly go wrong https://finance.yahoo.com/video/glitch-occurs-stock-exchange-happens-165850068.html submitted by /u/FXgram_ [link] [comments]

💬 Which cryptocurrency will the next ETF be linked to?

CEO of the investment company Galaxy Digital Mike Novogratz told which crypto asset could become a contender for the launch of a new ETF. He believes that over the past year, the Solana cryptocurrency has shown the most impressive results. At the end of 2023, SOL was trading around $21, but by March 2024, the coin exceeded $200, showing an increase of more than 850%. Now SOL closes the top five cryptocurrencies leading by market capitalization. Given Solana’s current position, Novogratz is confident that the altcoin has a good chance of being included in a potential spot ETF. Mike Novogratz isn’t the only one who believes the next cryptocurrency ETF will be tied to Solana. Recently, a similar point of view was expressed by the CEO of the investment company BKCM, Brian Kelly. submitted by /u/Lor1al [link] [comments]

Is the US stock market overvalued?

The US stock market capitalization to GDP ratio is at an impressive 187%. Although it still remains below the record of 199% in 2021, the 40% growth rate in just two years makes us cautious. Nominally, the total capitalization of the US stock market is approaching its all-time high of $53 trillion, which underscores the presence of the US market at the forefront of growth compared to other countries’ markets. For comparison, the ratio of global stock market capitalization to GDP (excluding the US) is only 61%. Another illustrative ratio is the gold price to the S&P 500 index, which currently stands at 0.45. This contrasts sharply with the ratio of 1.69 during the debt ceiling crisis in August 2011 and the staggering ratio of 2.75 in August 1979, when Paul Volcker became Fed chairman during the stagflation crisis. Gold would be worth more than $14,000 an ounce if today’s ratio were the same as in 1979. Do you think we should expect a crisis in the next 5 years? https://preview.redd.it/tk12xbdbal4d1.png?width=1280&format=png&auto=webp&s=e586b2e3bf5f850cb6067213a754e73a90797e32 submitted by /u/dll_crypto [link] [comments]

Chris Weston: 🇯🇵 A solid rally in the JPY across the board – USDJPY now 154.83

BoJ talking about a near-term bond purchase slowdown US data is showing signs of cooling and the exceptionalism story is debated (a USD negative) the market is very short of JPY, notably as its role as the funder for carry positions https://preview.redd.it/1luopv6qgj4d1.png?width=680&format=png&auto=webp&s=da0cfda70c534ba2f2db61096d277fb338831e91 submitted by /u/XGramatik [link] [comments]

Globalization: A Force for Evil?

Globalization has its downsides, especially for regions that are already struggling. These places become even more desolate. The easier it is to travel around the world, the more likely people are to flee to where there’s hot (or any) water. Not to mention unemployment benefits, aromatic sausage and a fatty cultural layer on it. People flee even when the economy is growing. It’s not just about future prospects, but the current disparity in living standards. If life in Syria is slowly but surely getting better, you might feel excited that in 30 years your country will catch up to, say, Bulgaria. But why wait? You could move to UK right now, where the locals are more than happy to share their personal income tax. Capitalism chases profitability, and not environmental friendliness or the rights of the working class. Regions are becoming impoverished and desolate. People flee from poverty and a lack of social elevators. And not just from desperate poverty, but from simple unemployment. Traditional agriculture, for example, has become incredibly efficient. Where 100 years ago 500 people with horses and pitchforks were needed, 30 years ago it took just 50 with fertilizers, tractors, and milkmaids. Now, five people with robots, GMOs, and vertical farms are enough. There simply isn’t enough work. More layoffs are coming, and that’s normal. The main thing is for regional authorities to understand that globalization isn’t all good. submitted by /u/FXgram_ [link] [comments]

For real

submitted by /u/Lor1al [link] [comments]

Chris Weston, opinion

Modi gets a third term, the first time since 1962 – Expecting a solid rally in the Nifty 50 (opens 13:45 AEDT) – 3%+ is the chat. The rupee (USDINR NDF opens 13:30 AEDT) should firm up after USDINR pushed into the top of its range last week. submitted by /u/XGramatik [link] [comments]