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I think you missed the main point of the article: that the activity of HFT algorithms overwhelmingly takes the form of quotes that never lead to trades and only serve to manipulate prices or create an information asymmetry.


See the excellent comments on this at [1] and [2]. The stuff that HFT currently does can't really cause anything too disingenuous.

[1]http://news.ycombinator.com/item?id=4395986 [2]http://news.ycombinator.com/item?id=4395834




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