hard · Market Microstructure
A 'parasitic' trader detects a large institutional buy order being worked.
Which of the following legal strategies is most likely to be employed by this trader?
- Buying in front of the expected order flow to sell back later at a higher price
- Contacting the institutional trader to negotiate a block trade
- Executing a wash trade to create fake volume
- Placing a spoofing order to induce a price reversal
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