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by smabie 2382 days ago
Well if we’re averaging, sure. But that’s not what the parent is talking about. Moreover, what you’re describing isn’t a HFT strategy, it’s an investment strategy.
1 comments

No, that is how you think about high frequency trades. Lots of trades in a small amount of time, with a tiny positive expectancy.
https://www.reuters.com/article/2014/11/13/us-markets-virtu-...

So Virtu profits on 51-52% of its trades. The type of math you are describing does not make any sense. Unless Virtu is significantly different from every other HFT firm, your idea of high asymmetry of profit and losses is not true.

I meant about how you make 0.00001 per trade is possible. I just didn't want to figure out the 50-51% of trades numbers.