Posted On: 06/24/2016 3:46:40 AM
Post# of 9144
Re: freeranger #2324
freeranger, I'll have to disagree with you.
These small trades are called 'fishing' and are done by hedge funds. Read the book 'Flashboys'. The Hedge Funds dangle small trades ( like worms) to affect the PPS and attract buyers. Then the HF's, using their super computers, will turn, in a fraction of a second, and sell or short the stock.
Which ever direction that will make them money. They are capable of making thousands of these trades in a day at millie seconds per trade.
If you put in stop loss orders, the HF will see them, and lower the PPS to trigger your stop loss order. Then, again in a millie second, they buy low and sell high. Again, doing thousands to these trade per day across the boards.
These small trades are called 'fishing' and are done by hedge funds. Read the book 'Flashboys'. The Hedge Funds dangle small trades ( like worms) to affect the PPS and attract buyers. Then the HF's, using their super computers, will turn, in a fraction of a second, and sell or short the stock.
Which ever direction that will make them money. They are capable of making thousands of these trades in a day at millie seconds per trade.
If you put in stop loss orders, the HF will see them, and lower the PPS to trigger your stop loss order. Then, again in a millie second, they buy low and sell high. Again, doing thousands to these trade per day across the boards.
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