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Old 02-05-2008, 04:19 PM
darthtrader darthtrader is offline
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Program Trading, Arbitrage, Ect...

Anyone know much about this stuff? Considering the % volume of program trades I'm trying to get a more general view of the mechanics.
What peaked my interest was this little pdf that was from a presentation at the futures summit 2 years ago:
"Anti-Arbitrage" - Combating Automated Trading Systems
http://www.fts.cme.com/files/janowski.pdf
I would love to have checked out that presentation but I can't find anyway to access it now.
I know I've read somewhere that the arbs use the ES to "sweep" the big pit contract. I can only vaguely understand what that means. S&P is a good example. You have cash, the big pit contract, SPY, ES...anyone have an understanding of how things fit togather?

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