I was playing around on cash app and spent a few dollars on the stocks there. I got bored of it eventually, but it got me thinking that there has to bots for this already.

I want a bot that I can give a dollars worth of stock. If that dollar’s worth rises by two cents, I want it sell a cent, and put the other cent into a pool for the next dollars worth of stock.

This has to have been done before, I just never learned anything about it.

  • breadsmasher@lemmy.world
    link
    fedilink
    English
    arrow-up
    7
    arrow-down
    1
    ·
    1 year ago

    This is sort of how High Frequency Trading firms - they have a system of algorithms to quickly buy and sell shares for profit. But they can do it a financial scale which makes sense. Like another commenter said, doing it for pennies will just be a net loss after commission and fees.

    You also need to get approval (forgive me I can’t recall the exact detail) for day trading - buying and selling of a stock within (I think) a 3 day period (or maybe intraday). Some platforms will allow you to do it a couple of times but then restrict you until a few days have passed before you can trade agaib

    • SidewaysHighways@lemmy.world
      link
      fedilink
      arrow-up
      3
      ·
      1 year ago

      I picked up a high frequency trading server for free off a friend of mine and that machine is a total beast of a computer. So apparently it may take a lot of horsepower to perform at that level

      • slazer2au@lemmy.world
        link
        fedilink
        arrow-up
        3
        ·
        1 year ago

        There is a lot of analytics that happen with HFT also I would say there hardware would prioritise low latency parts to shave nanoseconds off any trade.

        • surewhynotlem@lemmy.world
          link
          fedilink
          arrow-up
          2
          ·
          1 year ago

          FPGA, gigantic in memory caches, and ten gig fiber back channel connections to the exchange server in the next rack over.

          We are hopelessly outclassed.

          • slazer2au@lemmy.world
            link
            fedilink
            arrow-up
            1
            ·
            1 year ago

            Fun thing, in Australia in order to connect to the Australian Stock Exchange you must have a minimum of 160M of fibre cable. So being in the rack next to them is not an advantage.

            When they can make millions extra a year, spending 500K on a server is nothing.