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<p id="isPasted">Layering is a strategy in high-frequency trading where a trader makes and then cancels orders that they never intend to have executed in hopes of influencing the stock price. For instance, to buy a stock at a lower price, the trader initially places orders to sell at or below the market ask price. However, should such orders not reflect a true intention to trade, this practice will be regarded as creating a false market.</p><p>Layering is a more specific form of spoofing. spoofing is defined as when a trader places a bid or offer on a stock with the intent …</p>
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