Markets Footprints
An investment firm with a enough capital can send to the markets scheduled orders or it can get its historical past executed orders reporting and makes analysis of the footprint of theses orders. Lot of market participants mainly High Frequency firms are exploiting the behaviors of other participants. This can be seen as a radar emitting a signal and listening just after the echo. So know that also financial markets can be exploited like that. Smart algorithms can send small or big size orders like a radar sends signals and listen the echo from other participants. Once it is done enough time, a prediction model will be able to detect a pattern from the orders sent and exploits this pattern for getting high alpha execution. Of course this can be done by a firm which is able to loose money for building its algorithm. Cash and Time are what Drive financial markets.
