Ok, good question. We need to take a back step to 3.59.59 at the...

Ok, good question. We need to take a back step to 3.59.59 at the conclusion of the days trading. Let’s assume there’s orders like Bid 25 cents and there are orders for sells at .26 cents. The final trade was completed before the close at .26.
A second after the 4.00 pm bell the auction begins. I want an entry as I like the way it’s trading and think I can get .27 the next day therefore I’ll throw in a bid for 100k units at .27. Now if I was the only bidder within the next ten minutes then I would get 100k of the .26 cents as it matches. Deal done.
Now magnify my order x 500 as hundreds of participants are doing the same except many of them are wanting to sell as they have marina payments to make. Their .26 cents didn’t get hit during the day as they were too low in the queue therefore they alter their sell to 24 cents putting them in the front of the queue to receive the match.
And this is where the algo comes into it by matching all the orders placed. If the selling volume exceeds the buying volume then the SP is likely to match at .25 cents and the buyers win and of course it works the other way if buying volume exceeds the selling.
Im not sure I can explain it in simpler terms but acknowledge its intricities.

When you say that the algo is setting the price, it’s based on the information from the bids either being sells or buys. If there are no bids or sells then there ain’t no auction as there’s nothing to match. ( which happens regularly on EYE).

Hope this makes sense, it doesn’t read well as I’m not a good writer.

Cheers.