Quote:
Originally posted by MickMason
Paranoia warning!
I see marketmakers improving their charts and trading platforms all the time, maybe it's just to get more market share but do they have a way of watching what indicators traders are using or when they're about to place a trade or is that a bit far-fetched?
Mick
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Every single click and position is in real time in their database. Before you trade they see all Interbank positions, volume, everything. IF someone wanted to move the market as a Market Maker, they could easily, but you would never get away with it. Clients watch other companies price feeds as well. Anytime FXCM had a bad tick or something, clients called immediatly and said that 5 other MM didn't move. So everyone knows they are being watched by hawks.
Think about it. People in MM's dealing rooms, don't you think they of all people would be experts in regards to TA, FA, and Psy of trading. They are, they are also awesome traders themselves. I got to hang out with them after work. They are the heart of any MM. Thats how I got FXCM right out of college, because I was fluent in TA. I wanted dealing room in a few years but decided I'd rather raise some kids up back home near mom and dad.
All market makers know every single position and account being traded. Period. How do you think they find pickers and scalpers. The entire net positions can be summed up on 1 trading station screen. Its all computers man.