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Developing High-Frequency Trading Systems

You're reading from   Developing High-Frequency Trading Systems Learn how to implement high-frequency trading from scratch with C++ or Java basics

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Product type Paperback
Published in Jun 2022
Publisher Packt
ISBN-13 9781803242811
Length 320 pages
Edition 1st Edition
Languages
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Authors (3):
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Sebastien Donadio Sebastien Donadio
Author Profile Icon Sebastien Donadio
Sebastien Donadio
Sourav Ghosh Sourav Ghosh
Author Profile Icon Sourav Ghosh
Sourav Ghosh
Romain Rossier Romain Rossier
Author Profile Icon Romain Rossier
Romain Rossier
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Toc

Table of Contents (16) Chapters Close

Preface 1. Part 1: Trading Strategies, Trading Systems, and Exchanges
2. Chapter 1: Fundamentals of a High-Frequency Trading System FREE CHAPTER 3. Chapter 2: The Critical Components of a Trading System 4. Chapter 3: Understanding the Trading Exchange Dynamics 5. Part 2: How to Architect a High-Frequency Trading System
6. Chapter 4: HFT System Foundations – From Hardware to OS 7. Chapter 5: Networking in Motion 8. Chapter 6: HFT Optimization – Architecture and Operating System 9. Chapter 7: HFT Optimization – Logging, Performance, and Networking 10. Part 3: Implementation of a High-Frequency Trading System
11. Chapter 8: C++ – The Quest for Microsecond Latency 12. Chapter 9: Java and JVM for Low-Latency Systems 13. Chapter 10: Python – Interpreted but Open to High Performance 14. Chapter 11: High-Frequency FPGA and Crypto 15. Other Books You May Enjoy

Java threading

Threads are the basic unit of concurrency in Java. Threads provide the advantage of reducing program execution time by allowing your program to either execute multiple tasks in parallel or execute on one portion of the job while another waits for something to happen (typically input/output (I/O)).

HFT architecture heavily uses threads to increase the throughput, as we mentioned in Chapter 7, HFT Optimization – Logging, Performance, and Networking. Multiple threads are created to do tasks in parallel. Adding threads to a program that is completely CPU bound can only slow it down. Adding threads may assist if it's totally or partially I/O bound, but there's a trade-off to consider between the overhead of adding threads and the increased work that will be done. We know that the underlying hardware (CPU and memory resource) will limit this throughput. If we increase the number of threads beyond a certain limit (such as the number of cores or the number...

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