man vs machine, page-5

Excellent post, Writer. As Meatloaf would have sung, (back when he could sing), You took the words right out of my mouth.

What bot trading has done is make it very hard for day traders with no knowledge of fundamentals to compete. Even short to medium term 'emotional' investors who buy because someone excitable on Hotcopper says, 'This thing is going to the moon' and sell 3 weeks later when it has lost 15%, those people are going to lose more than they already do.

Manual short sellers will also have to be even more careful, with bot trading entrenched. (Manual as opposed to computer generated.)

But as Writer says, there's nothing about bot trading that can affect long term value investors much at all. We may feel some frustration as the price is manipulated in the short term, but that's why I think it can be healthy to take a step back and not watch the share price every day. A watched pot never boils.

Micro crashes in the share price, often manipulated, can provoke negative emotions and can lead to bad decisions. The last thing you need is to do a ton of homework on a stock, hold it patiently for a few years, then get a rush of blood to the head on a bad day and sell just before harvest time.