Daytrading on Steroids
Investing TradingI’ve posted this article before on my old site and thought it was fitting to re-post it here. It’s a story about a company called Tradebot Systems, Inc. CEO David Cummings, a former commodity pit trader and programmer, built an Automated Trading System, or Tradebot, which trades between 50 and 100 million shares a day! Wow!
Tradebot trades 50 million to 100 million shares a day. Anywhere from 1 billion to 2 billion shares trade daily on Nasdaq.
That means billions of dollars worth of equities pass through Tradebot’s software-driven trading system each day. At any given time, you might walk in and see that the firm has traded 20 percent of Yahoo! Inc.’s daily volume. The stock doesn’t stay for long: Tradebot starts each day holding no shares and ends each day holding no shares. It makes profits in the fractions of pennies on each share by quickly buying and selling. When all the gains are added up, you might have a $50,000 day, Cummings said. It’s day-trading on steroids," he said.
All the money is the firm’s. It has no customers and uses no outside capital. Instead, Cummings is slowly ratcheting up the amount of trades using Tradebot’s profit each day. He started with $25,000 in a spare bedroom of his house in 1999 via San Jose Business Journal.
This is my ultimate goal is to build an ATS like this and I’ve found a worthy partner to do it with. I will be teaming with an experienced daytrader and high level programmer in the second half of the year to build a system like. I’ll be bring my expertise in Neural Net’s and AI to the table, hopefully we can make some money doing this!
Learn Stock Trading, Investing, and Risk Management
There are a handful of financial and trading books that have made a HUGE impact on my investments. If you want to trade and learn about money and risk management then I suggest you get the Van Tharp book. If you want just focus on long term investing, get the Random Walk Down Wall Street book.
Hell, get them both. I owe my wealth to what I learned in those books.
Learning Python Programming the Easy Way
I picked up python programming when I needed to do something but couldn't figure out how to connect the dots. Luckily there were some great books out there that I picked up and helped accelerate my learning process.
Here is a list of book and cheatsheets I like: