mr dunce, page-10

There is only one way to describe these BOTS "Unfair Market Advantage"

The whole formula and the way these BOTS act are designed to have an average or long term win. They work on an algorithmic formula (mathematical formula).

This means that sometimes the BOT may lose a little, sometimes it may win a little, but if a BOT trader allows the system to run for a while, they will evidently end up in profit.

A BOT is usually described by its accuracy. The perfect theoretical BOT would have 100% accuracy. This means it would win through all trades.

However, such a BOT doesn?t exist and will apparently never exist. It is considered that the accuracy of the average trader is somewhere a bit over 60%.

An expert will have about 85%. A great BOT can work with an accuracy of 90%. There are however bots with accuracies which can reach and even go over 95%.

This BOT trading allows individuals and some banks to profit from market imbalances.

These so called bots do not allow a level playing field for most investors in the stock market. They use quantative trading with the only real benefit sometimes being the rebate offered by the stock exchange for entering in a bid and offer.

These greedy algorithmic trading platforms are a massive thorn in the side for mum and dad investors.

They can spot trends before other investors can blink, changing orders and strategies within milliseconds.

High-frequency traders that use these BOTS often confound other investors by issuing and then canceling orders almost simultaneously.

Loopholes in market rules give these high speed BOTS an early glance at how others are trading. And its algorithmic formula can essentially bully slower investors into giving up profits and then disappear before anyone even knows they were there.

These BOT traders as stated, benefit from competition among the various exchanges, which pay small fees that are often collected by the biggest and most active traders , which is typically a quarter of a cent a share to whoever arrives first.

Those small payments, spread over millions of shares, help these BOT traders profit simply by trading enormous numbers of shares, even if they buy or sell at a modest loss.