|
[posting]27511568[/posting]ein erklärungsversuch vom hcboard ...Conquest - that's typical bot trading, algo trading, whatever you want to call it. It's Direct Market Access (DMA) algorithmic trading done by some of the big brokers operating their own accounts, not their clients' accounts. They have at least two computers, usually at different IP addresses, one buying and one selling, often to each other. They walk the price either down or up, depending on what their aim is. It's usually down, so they hit stoplosses and cause the cascade effect that then causes the price to plummet, whereupon the computer bots start buying back in and the price goes back up to where it just came from. See it all the time on PDN, SMM, PSA, and many others. Brokers don't have a minimum parcel size, and they don't have to pay brokerage, of course. And yes - it's perfectly legal, even though many, including me, think it's immoral and manipulative. ... Ah Ha, thankyou, I think that we night have seen some of this hanky panky trading yesterday with MTN, it took about 200,000 shares to smash it down to $2.45 and about 800,000 were bought back to about the $2.96 level. ... Conquest - I don't hold MTN currently, but I have it on my watch screen in ProTrader. If you have access to the intraday chart, you'll see the pattern. There are about 10 sudden drops during today's trading, with a climb back fairly rapidly after each one. If you correlate that with the course of sales data, you can see where the bots have walked the price down one tick at a time until the stoploss cascade kicks in. Then there are several parcels of hundreds or thousands of shares traded, the buying bot soaking up most of them, and then it keeps on buying until the price gets back to where it was then stops. An hour or so later - it happens all over again. As I said - I regard that as blatant manipulation, but nothing can be done to stop it. The only advantage is that if you see it happening (you need a realtime trading platform like ProTrader, WebIress, eTrade, etc) then you can take advantage of it to buy low. One person I know actively watches for just that sort of activity, and trades the intraday dips. He will buy when it starts to climb up after the sudden dip, then sell when it flattens off. Often several times in the day. And he makes good money doing it too! |
|
| aus der Diskussion: | Marathon Resorces: Gewaltige Uranmengen in Australien! |
| Autor (Datum des Eintrages): | bmann025 (09.02.07 07:25:56) |
| Beitrag: | 112 von 205 (ID:27538732) |
| Alle Angaben ohne Gewähr © wallstreetONLINE | |