great trade setups, page-7

blink, I'm not expert on the bots , although i can often see them in the market ,howver I was at a HC meeting in Melb , where one of the software vendors shed some light on it .
And in this instance it would be hard to front run them.
He explained that some of the algos process big broker orders,
they work off the Vwap or volume weighted average price, for the day ...for example say they had an order to buy 200,000 BHP..the client is happy to thve the order filled at the vwap on the day. so the machine will buy and sell , a greater volume during the session , buying below the vwap and selling above it .. and at the end of the day setteling with the order filled .. however ..while buying and selling during the course of the day the broker can make some more from the process , both the client and the broker are happy.
I posted an example of bot trading on the Algorithmic Trading thread .. the way I saw it on wednsday in the spi...you really could'nt have front run that because they seem to control the order flow in a small range, I know several long time floor traders that have found it very difficult to deal with this new bot phenomon , and I think the best approach is to complety ignore it and just stick with the levels..they control the order flow but putting and removing volume orders and taking what they require in the process, at speed that humans can't do ..well very well anyway ..personally i don't like computers ..but unfortunatly where stuck with them ..
have a nice weekend ..