High-frequency trading was seen in Solara Active Pharma Sciences, TruCap Finance, and Gujarat State Petronet on April 22. Solara Active Pharma Sciences touched a 52-week high on April 22.
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 April 22:
Solara Active Pharma
Active names and traded stake: Graviton Research Capital (0.77 percent), HRTI Private Limited (0.67 percent), QE Securities (0.66 percent), Microcurves Trading Private Limited (0.62 percent)
Stock movement and volumes: Gained 4.98 percent to Rs 579.2. Trading volumes at 52 lakh shares versus 1-month average of 8 lakh shares
Technicals: Stock is above 50-DMA and 200-DMA
Fundamental trigger, if any: No
TruCap Finance
Active names and traded stake: Jainam Broking (0.62 percent)
Stock movement and volumes: Gained 0.96 percent to Rs 62.95. Trading volumes at 19 lakh shares versus 1-month average of 18 lakh shares
Technicals: Stock is below 50-DMA and 200-DMA
Fundamental trigger, if any: The company on April 22 has approved raising around Rs 100 crore via issuance of convertible warrants
Gujarat State Petronet
Active names and traded stake: Setu Securities (0.51 percent)
Stock movement and volumes: Lost 19.54 percent to Rs 303.85. Trading volumes at 3 crore shares versus 1-month average of 16 lakh shares
Technicals: Stock is below 50-DMA and 200-DMAFundamental trigger, if any: The company on April 20 reviewed pipeline tariff for its high pressure Gujarat Gas grid network
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.