High-frequency trading was seen in Vodafone Idea, Pearl Polymers, and Zuari Industries. Vodafone Idea, Pearl Polymers, and Zuari Industries touched a 52-week high.
High-frequency trading firms (HTFs) – or algo firms on steroids –use complex algorithms and powerful computers to execute trades at lightning speeds. These firms typically try to capture the spread between the spot and futures prices, but recently they have been active in small, illiquid stocks as well.
The volumes generated by them, more often than not, attracts retail investors to these stocks.
Stocks where HFTs were active on February 23:
Vodafone Idea
Active names and traded stake: HRTI Private Limited (0.54 percent)
Stock movement and volumes: Gained 7.67 percent to Rs 17.55. Trading volumes at 200 crore shares as against a one-month average of 47 lakh shares
Technicals: Stock is above 50-DMA and 200-DMA
Fundamental trigger, if any: No
Pearl Polymers
Active names and traded stake: Citadel Securities (0.8 percent), Chimpa Narayan (0.84 percent)
Stock movement and volumes: Gained 6.79 percent to Rs 39.75. Trading volumes at 22 lakh shares versus one-month average of 5 lakh shares
Technicals: Stock is above 50-DMA and 200-DMA
Fundamental trigger, if any: The company on February 9 announced its Q3FY24 results
Zuari Industries
Active names and traded stake: Graviton Research Capital (0.56 percent), Pigeon Exports International (0.5 percent)
Stock movement and volumes: Gained 0.24 percent to Rs 313.4. Trading volumes at 19 lakh shares versus 1-week average of 5 lakh shares
Technicals: Stock is above 50-DMA and 200-DMAFundamental trigger, if any: No
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.