All New Wilmott Jobs Board                     (b)

Why Trader Nav Sarao Had To Be Destroyed: He Found A Way To Beat The HFTs At Their Own Game


by Tyler Durden

And while the world wonders how it is that (HFT firm) Virtu can have 6 years of trading with just one trading day lossSarao not only figured out how to outmanipulate the manipulators, but how to profit from it.

....Sarao continued:


ICE : The iceberg function on the CME isn't adequate for me, I hardly ever use it because it puts me at the back of the queue all the time. Hence, 2,000 needs to trade to get me out of 800 lots for example, My iceberg function is placed at a price and as soon as it is bid/offered at the price the iceberg will take all contracts at the price up to and including the number of my order. Again, there is a minimum volume box, so for example 1 can put 50 into it and put a sell ICE of 1,000 and then at that price every time the bid is more than 50, the ICE wilt take all contracts out until 1,000 is traded. This is a good way of catching spoofers, and et voila I can trade 1.000 lots at one price (following on from the above example),


The other orders I sometimes place during the day are slightly away from the market price and move up and down as the market moves with It. This Is to catch any blips up/down in the market so that I can make a small profit as the market comes back into line (almost immediately). These orders are placed rarely and only when I believe the market Is excessively weak or strong. Again, this was inspired by other traders I could see doing the exact same thing.


I am a member of the CME.

Alas, not any more, for one simple reason: you showed the broken system that it can be beaten, and explained how.

As a result, the only response the broken system had was to put you away for good.

Oh and as for the actual question whether Nav Sarao caused the Flash Crash, the answer is: of course not.

Please read more here.

"Bulls and Bears" (Trading Documentary)

Please see more here, here and here.

Kids Explain Futures Trading

Proprietary Trading Firms: Listings and Reviews

New York Mag says "we were duped" by $72 million teen trader



New York Magazine issued an apology to its readers Tuesday morning, acknowledging the editors were "duped" by the teen stock trader rumored to have made $72 million.

"Our fact-checking process was obviously inadequate; we take full responsibility and we should have known better. New York apologizes to our readers," the note read.

The note was added to the profile of 17-year-old Mohammed Islam, featured as part of the magazine's "Reasons to love New York" issue.

It was the second editor's note in 24 hours. The first came late Monday night after the New York Observerran an interview with Islam in which he admitted to making the story up.

Please read more here.

New York Post: 17 y.o. kid makes $72M trading stocks (on his school lunch breaks)



By Laura Italiano

He’s the teen wolf of Wall Street.

A kid from Queens has made tens of millions of dollars — by trading stocks on his lunch breaks at Stuyvesant High School, New York magazine reports in its Monday issue.

Mohammed Islam is only 17 and still months away from graduating — but worth a rumored $72 million. “The high eight figures,” is as specific as the shy and modest teen would get when asked his net worth.

Islam bought himself a BMW but doesn’t have a license to drive it. And he rented a Manhattan apartment, though his parents, immigrants from the Bengal region of South Asia, won’t let him move out of the house yet.

Still, the cherubic prodigy is living, and dreaming, large.

Please read more on the New York Post.

University Trading Challenge – North America

The 4th US University Trading Challenge – November 14th 2014

An Educational Competition for Finance and Economic Students

The University Trading Challenge (UTC) is open to full-time students in Finance and Economics programs at any university. The competition has four main components: Real Market Trading Challenge , a Portfolio Trading Challenge, and (2) Case-Study Presentations.  The live portion of the competition (Short-Term Trading and Case-Study Presentations) will take place Friday November 14th, 2014 at Fordham University’s Trading Floor in Bronx New York.

Please see more details here.

Japan's Stock Market Rocked by $617 BILLION "Fat Finger" Trading Error



Share orders worth several billions of dollars were cancelled in Japan due to a trading error.

At 9:25 am local time, orders for shares in 42 companiestotalling 67.78tn yen ($617bn, £380bn, €488bn) were cancelled, according to data compiled by Bloomberg from the Japan Securities Dealers Association.

The stock orders amount to more than the size of Sweden's economy.

The companies involved in the trading error include Toyota Motor, Honda Motor, Canon, Sony and Nomura Holdings. The biggest order was for Toyota shares at 1.96 billion, representing 57% of the company's outstanding shares, for 12.68tn yen through an off-exchange transaction.

Off-exchange or over-the-counter trades are conducted directly between two parties without supervision of the stock exchange.

"It's not rocket science that there was a fat finger here, but it reopens the question about accountability," Gavin Parry, managing director at Hong Kong-based brokerage Parry International Trading, told Bloomberg.  

Please read more in the International Business Times.

Note: Image credit from Blue Point Trading.

TradeStation EasyLanguage Engineering Job


TradeStation currently has an opening for an EasyLanguage Engineer at their Dallas area branch office in Richardson, TX.

The position description is posted in the Careers section of the TradeStation website at

If you are interested, you can apply for this position directly via the website and/or send your resume to

Bloomberg: World’s Biggest Wealth Fund Escapes High Frequency Trading "Flash Boys" in IEX Dark Pool

Photographer: Chris Goodney/Bloomberg

IEX Group Inc. Chief Executive Officer Brad Katsuyama.

Norway’s $880 billion sovereign wealth fund, the world’s largest, is throwing its support behind Brad Katsuyama’s new exchange.

Katsuyama’s IEX Group Inc., made famous inMichael Lewis’s best-selling book “Flash Boys,” could shield investors from the predatory habits of high-frequency traders, said the fund, which holds $521.2 billion in stocks globally and is Europe’s biggest equity investor.

“IEX is a trading venue where all players participate on the same terms,” oil fund spokesman Thomas Sevang said in an e-mailed response to questions. “We support this.”

IEX, which the oil fund uses for both direct and indirect trades, doesn’t pay firms to buy or sell shares, shunning a practice that many markets use to lure business from high-speed traders. It mandates a 350-microsecond delay between requests to trade and executions to prevent traders from pre-empting their moves through high-frequency maneuvers.

Concern about dark pools was amplified after the publication of “Flash Boys,” which portrayed an equities market where exchanges, broker-dealers and high-frequency traders are conspiring to cheat investors.

The book says the firms involved helped rig the $22 trillion U.S. stock market. The story centers around Katsuyama, who was global head of electronic sales and trading at RBC Capital Markets LLC before becoming president and chief executive officer of IEX, and his efforts to shed light on the alleged practice of front-running investors by gathering data on their trades before they’re executed and then acting on that information.

Please read more here.

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