Information and the inherent volatility of the markets has been a staple of the industry for centuries. The major shift within capital markets is the speed of information delivery and the unpredictable nature of the market reaction to the underlying knowledge of the subject matter. No longer can a trader or investor rely upon the notion that information is disseminated orderly and according to a known methodology. With the advent of a number of technologies already available to the general investing public, traders must adjust and incorporate the available resources to improve profitability and mitigate short term dove tail risks.
Never have participants in the Capital Markets industry needed to undertake such a massive array of information in order to actively or passively participate in specific markets. Technical traders must incorporate fundamental and analyst opinions in day to day transactions. Fundamental investors are now forced to comprehend and include short term information and volatility indicators in their respective methodologies.
This is a first of several notes on our constant conversations with traders and active investors. Our concentration revolves around how traders function on a daily basis. We will introduce interviews and notable opinions on how traders and investors function in our new industry.
Our objective is to provide our readers with observations as they relate to market perception on information, data provided to market participants, and price action to volume activity as it relates to definitive and quantitative information and more esoteric activity on the part of social media and institutional level conversations.
We encourage our readers to provide us consistent feedback, questions, and critique. Our analysts look forward to becoming a part of this growing community.
The TradeXchange Team
