Ann: Lumos Investor Roadshow Presentation, page-42

@@shootingstar I saw the 1.5 mill at 8.2 cents sitting for days; I dont believe 4 random buyers would instantaneously place 320k buys; and I dont know why one buyer would buy in four bites; I am sure there are reasons why what happened, did happen; I just point out this is a good example of an unnatural trading event

what I thought would happen was (I was wrong), the 1.5 mill seller was sitting on one of those direct cables into the ASX; and they have some logic that says 'if I see a buyer order come in at my sell price, then cancel my sell, before the trade happens';

I have seen this happen and have had it happen to me as a buyer, that you put in the buy, but instead of seeing a 'fill', you just see yourself sitting on the buy side.... the sell vanished in a milli second after YOUR buy order was placed; this is a wild thing but happens indeed; seller can pay an extra fee to the ASX to have THEIR connection be faster to the ASX than random, retail Joe; and seller can see Joes orders flying in and know a millisecond before Joe hits the ASX server, what Joe is doing; so the seller can actually front run Joe;

let us say you are the seller, well, it like you starting at the half way mark of a 100m sprint; you are not allowed to start BEFORE the gun; you must wait for the gun; so you sit there looking back at the start line (you cannot hear the gun, actually, as the gun is actually Joe pressing the buy button); but you can see Joe start to run toward the finish (the ASX server) with his buy order, looking to hook up with your sell order sitting at the finish line - and make a trade;

but you, being at the half way mark, sprints to the finish and remove your 'fake' sell order... and Joe arrives with his buy and the sell is gone; at this stage there was NO TRADE on the ASX, just Joe sitting there with his buy; if you are really evil (I have seen this) your sell reappears in a millisecond one pip higher; now Joe see the sell shares THERE and his buy right below, and Joe (being a retailer) says *f it, I will just buy at the pip up;

you as a preferred trader with the ASX can front run buys and sells; you can see what others are doing BEFORE they do it (well, you see what they have DONE, but in the split second before what they DONE is finalised, you change your buys/sells

yay, ASX