Huge problem with this algo is that this is well known thing in the industry and this edge can't last. How many people read this thread, say x1,000. How many are going to take action at least x50. x50 people competing for x2 ticks . And people who read this thread are nothing when one takes into account industry as whole. These methods are well known and understood and if you google around you'll find dozens of academics killing themselves writing papers to earn favor of big banks to give them funding. And these academics intellectual heavyweights who are not just "eyeballing" DOM, they are throwing terra-flops of processing power at AI in search of DOM patterns and paying through their noses to to place their severs within couple of feet from exchange's server. Not to mention many HFT and quantitative trading companies are piling up on this same algo with tons of capital to spare. As a matter of fact you can look up Christina Qi, owner of DataBento. She discovered similar edge and started a company with about x10 people, but eventually her enterprise had to succumb to the fact that it was not big enough to compete efficiently with industry heavyweights. But sure enough, there are tons of snake oil merchant peddling gold rush promise. You can look infamous Futures Analytica, who promotes similar proposition with live real-time trading on YouTube. Only little problem is that they use overlays in their videos: https://nexusfi.com/showthread.php?t=58729&p=891458#post891458 And another trick they use is their trades mostly last only few seconds and there is x5 seconds delay between their trading and live YouTube video, so there is a plenty of room for them to trade with benefit of hindsight. Good luck
Good Morning HitAndMissLab, Thank you for the insight. I was looking at Futures Analytica on youtube months ago. Wow, so many tricks to scam. I did not even know that.
Hello HitAndMissLab, I think HFT and quantitative trading is a waste of time and just marketing. It is best to not worry about these terms and focus on your own trading.