easy · CFA Level I Ethical and Professional Standards
Sable Payments' head trader places a massive buy order and then cancels it milliseconds before execution to 'test' the liquidity of the market.
If this is done repeatedly to induce others to buy, it is:
- A legitimate market-making function.
- A violation of Standard III(A) Loyalty, Prudence, and Care.
- Transaction-based manipulation.
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