Thank you, but I think you need to be more explicit at stage 7. As I understood you, algorithms notice someone dumping stock and they pick it up. Then they hop

Thank you, but I think you need to be more explicit at stage 7. As I understood you, algorithms notice someone dumping stock and they pick it up. Then they hope you were selling for cheaper than market value because you were in a hurry, not because you thought said stock was overvalued, and they try to pass off the stock later on. Is this what "providing liquidity" means? It seems like a good thing, iff people generally do high-frequency trading far more than actual investment. What's providing that confidence? Experience?