Explain the manipulative trading practices that live market monitoring can uncover
The idea
Surveillance systems scan orders and trades in real time for patterns of abuse. Front running and trading ahead occur when a broker or insider trades before a client's order. Spoofing and layering place orders with no intention to execute, to create a false impression of supply or demand. Wash trading has the same beneficial owner on both sides to fake volume. Bluffing and momentum ignition try to provoke others into trading at worse prices, while gunning the market triggers stop-loss orders. Squeezing and cornering exploit control of supply. Rumour spreading and pump-and-dump schemes manipulate through false information. A trap is thinking only executed trades matter; spoofing leaves evidence in cancelled orders.
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