Just to break the tedium a bit
I have been doing some digging into bot's and have come up with some answers.
Basically some trade on technical rules - buy on one side of the bollinger bands sell at the other for example.
A big use though seems to be VWAP (Volume Weighted Average Price) trading which as it turns out is in fact intended to not manipulate the price. This came as a bit of a surprise. The argument is that you have a big parcel to sell or buy and you do not want your order to push the price around. So you have a program that breaks the order down into pieces and sells each piece at the days VWAP.
If you are curious do some googling on VWAP trading and algorithmic trading.
http://en.wikipedia.org/wiki/Algorithmic_trading
http://en.wikipedia.org/wiki/VWAP
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- bots a couple of answers
bots a couple of answers
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