Nanex Research


Nanex ~ 6-Feb-2013 ~ Enough Already!

We are shocked, shocked! that the nonsense shown below continues. Especially after the recent fine a high frequency trader received for sending less than a dozen "fake" quotes over several minutes of time. Study the first chart - it shows over 1000 fake quotes sent in a 100 ms period of time (1/10th of a second). Most of these fake quotes affected the NBBO.

1. XOVR showing bids and asks color coded by exchange and NBBO (gray shading). Chart shows 1/3 of a second of time.


2. XOVR showing bids and asks color coded by exchange and NBBO (gray shading). Zoomed out view of chart above.


3. XRM showing bids and asks color coded by exchange and NBBO (gray shading). Chart shows 1 second of time.


4. XRM showing bids and asks color coded by exchange and NBBO (gray shading). Zoomed out view of chart above.


5. XRM showing bids and asks color coded by exchange and NBBO (gray shading). Zoomed out view of chart above.


6. USMI showing bids and asks color coded by exchange and NBBO (gray shading). Chart shows 1 second of time.


7. USMI showing bids and asks color coded by exchange and NBBO (gray shading). Zoomed out view of chart above.



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