Sunday, February 27, 2011

Social and Quant a New Business Model

CEP stands for Complex Event Processing. If you want to read up on it here is the link from Wikipedia
The bottom line is that to have an edge you need to be able to process many things at once.

There is a problem with the CEP acronym. The problem is the "complex" part. So how does this relate to Trade Ideas and doing better in the market? Having been in business since 2002 we know one thing for certain, most people are only scratching the surface of the power of Trade Ideas. Here is an example using negative number, did you know that this is how we work with the downside?

Our set of filters is the most powerful analytic scalpel on the market today but many people intuitively don't get it and don't have the time to learn. In order to help you get more out of our software, but at the same time avoid all the hassle we created a different version of our stream in a partnership with StockTwits. The idea was simple. Take some of the best streams that we have created and sell them as individual subscriptions for a fraction of the cost.

Of course you can't configure them, but that is okay because you probably don't want to learn how to do it. Those that want to dig deeper can always use our core offering. However for someone that wants the instant gratification without the configuration look no further. These streams range anywhere from $9.99 per month to $19.99 and they are powerful and easy to use. If you were hesitant about spending $65 a month this new version of our software is perfect for you. There is even a 14 day free trail so give it a whirl. Your future is on the line!

Tuesday, February 22, 2011

In New York with NASDAQ

NASDAQ Velocity and Forces® — A Real-Time Tool for Tracking Market Direction, Momentum and Liquidity

NASDAQ Velocity and Forces® measures levels of pre-trade order activity in the NASDAQ trading system to indicate the intensity of trading interest and relative buy versus sell pressure.

Market Velocity measures the intensity of the trading interest using order messages entering NASDAQ trading systems — Execute your trading strategy before other traders by comparing the expected order activity in a security with the current activity to detect surges in trading interest before trades occur.

Market Forces provides a real-time, pre-trade indication of the direction of the market by indicating whether trading interest is surging in buy or sell orders. Used in conjunction with NASDAQ Market Velocity, traders can determine trends and when to place buy or sell orders to secure the best prices.

Velocity and Forces offers the perfect pairing of market intensity and trend awareness to arm you with the insight necessary to predict the most effective trading times. As with any trading tool or strategy, NASDAQ Velocity and Forces does not guarantee profit.

See stock specific NASDAQ Velocity and Forces data in the new ticky™! Look for new alerts and filters coming soon that will utilize Velocity and Forces data.

Tuesday, February 01, 2011

Garbage in Garbage out

This happens from time to time. I like to share it with you when it's obvious on the web, so you can see it for yourself. The simple fact is that market data is not as precise as we'd like it to be.

Market data is our lifeblood. We examine every bit in so much detail. And we know it's important to you, too. So we always try to get it right. But sometimes, the data just isn't consistent. Sometimes, different sources will give you different answers to what you thought was a simple question. Yesterday, 1/31/2011, the question was, what's the opening price for VIT?

Take a quick look. That's quite an interesting stock chart. That's the sort of thing that a lot of our customers are interested in.

Just one problem. When the day started we said the open price was $34.25. Later we changed that number to $32.44. If you use our change from the open filter that would make a significant difference. Why did we change it? The details are technical, but obviously it came from the market data. Obviously it came from what people reported to the exchanges, and what the exchanges passed on to us.

So, what's the right answer? That depends on who you ask. Look at this list of daily prices that I got from Google.

It clearly says $34.25. Now look at the 5 minute chart from Google. Notice that I was hovering my mouse over the first 5 minute candle from 1/31. (Notice the blue circle on that candle, at the opening price.) So the prices near the top of the chart correspond to that candle. So the opening price for the first candle was $33.48. How can the open for the first candle of the day be different than the open for the day? Clearly there were data problems. At least three different answers seem reasonable for the opening price for that stock.

We know how important the data is for your trading. We always do our best to get this right. But, at the end of the day, you can't expect perfection. We can't give you better data than the exchanges give us. As you trade, please understand that market data is just the best approximation that's available, nothing more.

More info: