May 6th crash effect - CFTC "to look" at high-frequency trading

I doubt this will become Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term related, but just in case...

First of all if you find this interesting you can start by reading the 151 pages long CFTC's report on the May 6th market crash events.

(Reuters) - The U.S. Commodity Futures Trading Commission will reestablish a technology advisory committee that will hold hearings to help the agency catch up with the fast-moving financial industry.

The hearings would look into issues such as co-location, swap Execution Execution Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Read this Term facilities and high frequency trading.

Co-location allows traders to place their computer systems next to exchange servers, giving them the ability to execute strategies at lightning-fast speed through computer algorithms. These market participants are sometimes called high-frequency traders.

The committee will "discuss how technology is being developed across the industry, how the CFTC should oversee such technology, and what the future holds for technological advancements in our markets so the CFTC can stop playing catch-up, as it has for so long," O'Malia said in a statement.