General Trading Chat
- Thread starter timepass
- Start date
- Tags idle thoughts trading talk only
I have come across two opposite views about Algo-Stop-loss Hunting on the internet.
ONE VIEW is-
stop hunting is done by algos .
Market movers have precise data of no of stops placed and where which are not available to the retail.
Stop hunting happens daily.
Stop hunting happens for the sake of running the stops.Because it is highly profitable..
ANOTHER VIEW is-
It is not possible for algos to know exactly the precise data of no of stops placed and where ..... for stops are known only by order placer ....... and other can know about it only when the stop is triggered .....
Which of these two are correct ? ... Experts ..? .... Anyone .... ??
ONE VIEW is-
stop hunting is done by algos .
Market movers have precise data of no of stops placed and where which are not available to the retail.
Stop hunting happens daily.
Stop hunting happens for the sake of running the stops.Because it is highly profitable..
ANOTHER VIEW is-
It is not possible for algos to know exactly the precise data of no of stops placed and where ..... for stops are known only by order placer ....... and other can know about it only when the stop is triggered .....
Which of these two are correct ? ... Experts ..? .... Anyone .... ??
even retail guys have option of disclosing 10% qty only , example your qty in nf is 500 but you can show it as 50 .................then even institutions must be having this facility .......right?
2ndly most stops are placed on swing lows and highs right ? ............that data is freely available to all people . swings are also very magnetic in nature market loves to go above below swings all the time on all time frames .
its the nature of the market to run all over the place , because trading is a zero sum game ................if you think deeply ,you will understand , stop running is in blood of the market , its 2nd nature ,..............calling it that it can be done at all the time as per alogos own wish will mean that ..............market will only be trading like zigzag .............if the main purpose of market is stop hunting only , then .........will there be any trend ever ?
if stop running is so easy why would my stop would be spared by .5 tick ? if their algos are all mighty super powerful .............cant they run market just an extra .5 tick to take me out too?
also are all FII (some 1000 registered in india) are they even different entities or are they combined entities backing each other for combined profits of all FII and they dont fight with each other ? ..................if yes then they run stops of all DII and retail and HNI and only FII is profitable in trading and all others are losers .
does that even make any sense ?..............
my stop losses were run in ancient times too there is nothing new about it...........its a second nature of market with or without algos, algos are not doing it anything new it was done by natural laws in ancient markets too even in 1900's
similar type market moves after 80 years + ..........so algos were in 1929 also ............america is really super power if it had computers in 1929
2ndly most stops are placed on swing lows and highs right ? ............that data is freely available to all people . swings are also very magnetic in nature market loves to go above below swings all the time on all time frames .
its the nature of the market to run all over the place , because trading is a zero sum game ................if you think deeply ,you will understand , stop running is in blood of the market , its 2nd nature ,..............calling it that it can be done at all the time as per alogos own wish will mean that ..............market will only be trading like zigzag .............if the main purpose of market is stop hunting only , then .........will there be any trend ever ?
if stop running is so easy why would my stop would be spared by .5 tick ? if their algos are all mighty super powerful .............cant they run market just an extra .5 tick to take me out too?
also are all FII (some 1000 registered in india) are they even different entities or are they combined entities backing each other for combined profits of all FII and they dont fight with each other ? ..................if yes then they run stops of all DII and retail and HNI and only FII is profitable in trading and all others are losers .
does that even make any sense ?..............
my stop losses were run in ancient times too there is nothing new about it...........its a second nature of market with or without algos, algos are not doing it anything new it was done by natural laws in ancient markets too even in 1900's
similar type market moves after 80 years + ..........so algos were in 1929 also ............america is really super power if it had computers in 1929
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