Nanex’s Takes On The “Big Boys”

trading floor

It’s hard to imaging that a eight-person enterprise operating out of a small office in some corner of a Chicago suburb would offer to take on the beast of Wall-Street head, yet this little guys seems to be here to stand as David to the stock-markets’ Goliaths.

Eric Scott Hunsader, 51, has created Nanex LLC to monitor the markets and spot for hints of illicit trading hidden in the colourful images of dots and triangles and speed through his four computer monitors and represent the buy-sell quotes of of U.S. stocks every millisecond.

Hunsader’s team has everybody looking into the charts they produce from market regulators to art collectors, but not everybody with a benign eye. Some traders rage and rant against the operations of Nanex which, they argue, lead to quick conclusions and conspiracy theories that cannot be backed by any evidence.

Despite whether considered propaganda tools or as evidence of suspicious activity by the big guys exploiting the market, Husander’s charts have certainly opened the way for public discussion regarding the essential fairness and lawfulness of the modern stock market.

Hunsader sees himself in the service of the little guy, the individual trader as he tries to wade his way through a market that can send out buy and sell quotes at the rate of 2 million per second. In the 1990s the rate only average to 1,000 per second. The options market, moreover, is even more treacherous with a rate of 10 million per second, and Nanex processes the enormous amount of data into a “ticker plant,” and send it out to their clients.

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