At DayTraders.com, we maintain strict guidelines to ensure a level playing field for all traders. As part of these guidelines, we do not allow the use of High Frequency Trading (HFT) strategies on our platform.
What Does This Mean?
Manual Trading Required: High Frequency Trading (HFT) strategies that rely on the rapid execution of multiple trades within very short time intervals are not allowed. This includes trading systems or algorithms designed to execute hundreds or thousands of trades per second or minute.
Prohibition of HFT Algorithms: Any trading activity that involves the use of HFT software, algorithms, or systems aimed at exploiting price discrepancies in milliseconds or microseconds is strictly prohibited.
No Trade Overload: Excessive trade volume over short periods that is characteristic of HFT will be flagged and considered a violation of this rule.
Consequences of Violating the HFT Rule:
Account Suspension: If your account is found to be engaging in High Frequency Trading, it will be immediately suspended pending a review. If HFT activity is confirmed, your account may be permanently closed, and any profits from HFT trades may be forfeited.
Profit Forfeiture: Any profits made through High Frequency Trading will not be eligible for withdrawal and will be forfeited as outlined in our Terms and Conditions.
Why This Rule Exists:
Fair Trading Environment: High Frequency Trading can create unfair advantages for certain traders, particularly those using sophisticated algorithms to exploit market inefficiencies. By prohibiting HFT, we ensure that all traders have an equal opportunity to succeed.
Protecting Platform Integrity: HFT strategies can overload trading systems, cause excessive market volatility, and disrupt the platform’s operations. This rule helps maintain the stability and integrity of our platform.
How We Monitor Compliance:
Our platform uses advanced monitoring tools to detect HFT activity. We track trade frequency, volume, and execution patterns to ensure compliance with this rule.
Ensuring Compliance:
To avoid issues, ensure that your trades are conducted manually and do not fall within the category of High Frequency Trading. If you have any questions or need clarification about this rule, please contact our support team.
For further details on trading guidelines, visit our Trading Policy.