"I am abandoning Trading up until S&P moves much lower , and investing only in fixed income at very short maturities (I manage to earn free of risks 3% with interests reinvested (remember Einstein: Compounding is the 8th wonder of the world!) on a quarterly basis. I think there is a reasonable chance the Sovereign interests rates in Continental Europe are on their way to double digit.

"The exchange of comments on HFT today got me to think that time tax is probably not the solution but may be a strict control of the maximum amount of LEVERAGED funds allowed to be used for each trade. Since the past 10 years, the world has been drowning in leverage and nothing has changed."

David Fuller's view Each of us needs to work with an investment plan that feels comfortable and suits our circumstances. We only need to review this if it is not working.

Re HFT, no other participants are placing thousands of orders every day, knowing that they will also pull most of them just as quickly. They do this to identify concentrations of buy or sell orders, which they can then front run. This is analogous to modern fishing fleets which deplete the oceans by using sonar to identify schools of fish which they can then surround and catch.

Since no one else trades in nanoseconds, a CGT weighted to discourage positions that may only be held for a few seconds makes sense to me. The CFTC's approach on leverage, as I understand it, has so far taken the route of limiting position size as a percentage of contracts. They also raise margin requirements when markets experience extreme moves.