Twitter revives trading pits
Traders are using Twitter to share information about companies and markets trends.
Traders are using Twitter to share information about companies and markets trends.
According to aFinancial Times report, Twitter is replacing trading pits where traders once shared information.
Trades rely on real-time information about the markets to help them make the right decisions.
With the growth of automated trading where computers make decisions using algorithms, trading firms are linking their trading software to Twitter.
Christophe Langlois, founder of Visible-Banking, which advises financial services companies on the use of social media, said there is great potential for using Twitter in trading, but there are question marks. "It all depends on where the information comes from. It is a question of the value of information and the expertise of the person providing the information," he said.
A social media site was launched in July to help start-up investment firms compete with bigger competitors.