Re:Eight Years On, Google Fiber Is a Faint Echo of the Disru...
by theptip on Wednesday March 07, 2018 @01:04PM
(#16538353)
My comment was referring to the broader conversation about WISPs vs. fiber for consumer broadband.
I agree that in the financial use-case, the trade-offs are different, and perhaps you can just turn off your wireless link and just fall back to normal fiber when it's raining.
To address your last point, under my limited understanding of high-frequency trading, the edge is in predicting small fluctuations in price, and acting first. For that kind of trading if you incur unpredictable latency, you'd expect to lose money on more trades, since your orders come in after the latency arbitrage has been removed.
You still need to be able to (somewhat) accurately predict those price movements, but that prediction is meaningless if you can't also execute quickly. So the speed boost is a necessary but not sufficient criteria for executing many HFT strategies.
I agree that in the financial use-case, the trade-offs are different, and perhaps you can just turn off your wireless link and just fall back to normal fiber when it's raining.
To address your last point, under my limited understanding of high-frequency trading, the edge is in predicting small fluctuations in price, and acting first. For that kind of trading if you incur unpredictable latency, you'd expect to lose money on more trades, since your orders come in after the latency arbitrage has been removed.
You still need to be able to (somewhat) accurately predict those price movements, but that prediction is meaningless if you can't also execute quickly. So the speed boost is a necessary but not sufficient criteria for executing many HFT strategies.