High-Speed Trading Is Just About Cheating

HFT funds aren't trading as much anymore, because there aren't enough humans to trade with. Algobots just quote each other prices. As Salmon points out, there were 280,000 quotes in a 17-minute span to trade the EFZ back in September 2012. But there were zero actual trades during that time. It's no surprise then that HFT funds are desperate for any kind of competitive advantage. So, like Red Auerbach suggested, they cheat. Now, what they do is strictly legal, but that doesn't make the game any less rigged.