A type of spoofing that is carried out by rapidly placing and canceling an order (the same order) in order to give an artificial/ illusionary impression that liquidity does exist for a given stock or market. Strobing is a high-frequency trading (HFT) aiming to create an illusion of a liquid market Hence it is considered an illegal and manipulative practice that is meant to distort normal market conditions.
June 13, 2024
