Yes, they are manipulated by big traders.
Just like every other exchange in this universe, so don't worry 2 much about it.
What! You mean people actually put in small orders in the opposite direction that they want to move the market to where they want it to be for the big order? How can they do such a thing. NEWS FLASH: Wall Street traders have been doing stuff like this for over 100 years.
Whenever there is an open orderbook, everyone can see it and so it is possible to glean some information about what the market is about to do. Of course, people know this so discount this information or even reverse it.
I know that you know that I know that you know that I know,...
This is why it is not possible to predict short term price movements, just general direction is difficult enough. Pick a price you are happy to buy (or sell) at and then stick to it. If your analysis is correct, in time you will gain. If you are wrong, you will lose (or have to wait a long time to get out without a loss)
James
The mechanism I am thinking of is bots or the same person or a group of people trading most of the volume between each other with different accounts to high prices. The ones that loose are the "normal" traders that also happen to trade at these price...
I doubt this is going on. Last night, bter was at large premiums to dgex. Also, bter has more volume than dgex now. There is a LOT of demand to trade NXT. Even at these levels less than 3% of NXT is being traded everyday. If what you say is going on, it would have been the reverse. In any case, there is no rule against trading among your own accts. This is all standard fare in the world of high frequency trading.
Just stick to a price you are comfortable with trading at and stick to it, until some fundamental change happens that affects your analysis.
For example, I was on the fence about DOGE, until I heard that they funded the jamaican bobsled team for olympics. That is the team that the movie "cool runnings" was based on. Combine this with the usual TV ratings of hundreds of millions of viewers and knowing that the story cannot help but get airtime with the dogs pulling sleds, bobsled, etc. I then saw DOGE was creeping up to its alltime high, so I decided to buy it counting on an overshoot and getting some nice room above my entry price to protect from volatility.
I got lucky as it immediately tripled in price, but I followed a process. I usually steer very clear of anything without technical merit, but the network effect with DOGE is so strong, it can bootstrap all the infrastructure it needs to survive and thrive.
So, why the long story? Well, what does it matter what bots are doing what if I am intending to hold until at least the Olympics are around the corner? It is like waves on the beach. Sometimes a big one comes crashing in unexpectedly, but if you are waiting for the tide to come in and go out, you can safely ignore all the waves.
Tides are much more predictable that waves.
James
