One Algorithm Made Up 4% Of All Trading Last Week

No one knows where it came from, or what it was meant to do, but 4 percent of all trading in the U.S. stock market last week was executed by one algorithm, CNBC reports.

  Nanex, a market data firm, told CNBC that the algorithm was placing orders once every 25 milliseconds and then canceling them. The orders went out in bursts of 200, then 400, and then 1,000 orders.

Then suddenly, around 10:30 AM on Friday, the algorithm stopped entirely.

Nanex has the animation that helped them zoom in to the mysterious algorithm posted here.

Read more: http://www.businessinsider.com/mystery-algorithm-4-of-trading-last-week-2012-10#ixzz28sDtZyZY

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This type of trading needs to be banned.