3 ms·
Wash trading is any trading with no change in beneficial ownership. The type of price "manipulations" being discussed are potentially the result of wash tradin
by ycombobreaker 9y ago
Wash trading is any trading with no change in beneficial ownership. The type of price "manipulations" being discussed are potentially the result of wash trading, but fundamentally the goal is momentum ignition, so the igniter can coax other participants to bid large size at a high price (or buy at even higher prices), and sell to them. You don't have to buy from yourself to show the world that you are buying new highs.
Momentum ignition and wash trading may overlap in a single circumstance, but they are distinct concepts.