"Spoofing" on NASDAQ?

Discussion in 'Trading' started by tonyb, Dec 31, 2003.

  1. tonyb

    tonyb

    I read some older posts regarding "spoofing" on NYSE stocks, which I think refers to when traders boom and then cancel. I've been seeing this type of thing in NASDAQ stocks recently.

    Is this technically illegal?

    -T.B.
     
  2. I thought spoofing was putting in bogus bids when you were on the offer or vice versa, not just bidding and cancelling. I have noticed that certain Nasdaq stocks seem to have a lot of automatic bidding programs, eg if you go high bid by yourself, before you can lift your finger off the key there are 5 others with you. It doesn't take a genius to see that those systems could encourage people to spoof them.
     
  3. lol. And if you hit the bid, do you think the buyers are going to regret it? If they are joining the bid its because they WANT TO BUY.

    I just wish the competition was as dumb as they are made out to be.
     
  4. pspr

    pspr

    I see a lot of this the on the S&P E-mini. Often either the bid or offer will see hundreds of contracts added then they suddenly are gone without any trading. Sometimes this happens on and off several times a second. It's strange that it always happens only on one side at any given time.
     
  5. nkhoi

    nkhoi Moderator

    opportunistic carpet bagger get in line in case of weird spike happening?
     
  6. nah, probably they sit on the side of whatever slight arb opportunity their Cray computer and t-3 lines give them. And you thought you were trading against 55 year old retired dentists?