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What are rinse-and-repeat trading abuses?

Rinse-and-repeat trading abuses is where a trader capitalizes on the wide spread of a stock.

For example: $WPI .87 bid, .91 offer — a trader just buys and sells repeatedly in the virtual trading platform and takes advantage of the illiquid stock and its wide spread.

In the real markets, you can barely trade these situations because you need to queue your volume. Meaning, you run the risk of not having your order filled since the stock is barely trading, or much worse, you could be trapped in an illiquid stock.

On the other hand, in any virtual trading system, anyone can just go maximum allocation and buy/sell repeatedly since there is no queue, and you can exit any time — which does not represent real markets. In real market situations, you won’t be able to trade this consistently with significant volume, which is why we do not find this strategy as realistic

This kind of stock behavior depicts an unrealistic strategy and it is often abuse-able in virtual trading competitions.

We iterate that any player who is constantly getting his/her profits from rinse-and-repeat wide spread and illiquid trades will flagged and be disqualified. We will be able to validate this through our algorithms that verify the trading history of each participant.
 

We understand that scalping is a form of strategy, but it is barely applicable in the Philippines especially given the high commissions and the inability to go-in-and-out consistently due to the lack of liquidity and risk of wide spread stocks that suddenly become inactive and illiquid. Day-trading stocks that have real moves and liquidity are OK, but those who are just looking to repeatedly abuse stocks that are barely trading (widespreads) and are illiquid will be DISQUALIFIED.

As we have said, we will have no TOLERANCE to traders who are abusing illiquid stocks and rinse-repeat abuses.

We have observed that there are still a lot of traders mainly profiting from illiquid stocks and repeatedly doing rinse and repeat strategies. We have given our warning earlier to some of you. Our algorithms and our team has detected several players who continue to abuse and rely mainly on ‘rinse-repeat’ spread abuse trades. We have been very consistent in iterating to you that RINSE-REPEAT, unrealistic and abusive trading strategies will be penalized and will not be TOLERATED in this competition.

What are “abusive” trades?

Example 1: TBGI

Look at the Bid and Ask Table Below.
Some of the Traders may Opt to Buy the Stock (in the Competition) at 0.53, Sell it at 0.54 and in just a few minutes, gain around 1.5+% in profits per trade. This is nearly impossible and takes a huge amount of Time once done in Real Life because you have to wait for your order to be filled first.

We want to find winners who show TRUE skill and strategy.

Click here to join Investagrams Trading Cup 2020: Bounce Back Challenge

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Investagrams Trading League 2018

Greetings fellow Investors and Traders!

They say the best way to learn something is through experience!
Today we present to you another GREAT OPPORTUNITY to hone your trading skills, while getting the chance to compete and win AWESOME PRIZES.

Welcome to the second year of Investagrams Trading League!

The Investagrams Trading League is a mini-stock competition that runs for 3-weeks.
The winners of this competition will receive cash prizes!

How to WIN the Investagrams Trading League?

The goal of this trading game is simple. Find opportunities and trade your best to gain the most profit and have the highest total account
value at the end of two trading weeks!

WINNERS and PRIZES

The top three (3) players with the highest account value at the end of the trading round will be heralded as the winners.

Each winner will receive a corresponding cash prize from:
1st Place: Php 3,000
2nd Place: Php 2,000
3rd Place: Php 1,000

MECHANICS

For this competition, trading will begin on August 20 and ends on September 14, 2018

1. Trading is done through the Investagrams Virtual Trading Platform.

2. All ports will be reset for the competition.

3. Participants will start with Php 100,000 virtual money to trade. Learn how to use the virtual trading platform here: http://invs.st/VirtualTrading

4. You can only trade liquid and actively trading stocks, we have filtered out which stocks fit this criteria. We have taken out illiquid names that have wide spreads and can be easily abused such as OV, AR, OPM, etc. The whole stock list may be accessed once you are accepted in the competition. See List of Stocks Below.

5. You can only allocate a maximum of 33% of your portfolio on any single stock at a time. No ALL-ins!

6. There is a 10-minute trading lock after any transaction. This means you need to wait for 10-minutes before you are able to sell your position. This will prevent any scalping abusers in the competition.

7. At any point during the competition, Investagrams has the rights to modify certain rules and mechanics if they see it fit. These adjustments are done to nullify any abuses or loopholes on the trading game. Let’s keep it fair and fun for everyone. We want the winners to be truly deserving.

8. Any cheaters and abusers shall be flagged and be given corresponding repercussions.

9. Trading Hours: Weekdays from 9:30AM – 12:00PM and from 1:30PM-3:30PM (Same trading hours with the real PH Market. Meaning, you can’t trade during off hours and on weekends.)

Let’s keep it fun and fair for everyone, please do not flood the system with many entries.
Let’s be honest, so we can have a real gauge of how we fare in the competition!

REGISTRATION

To register, you must already have an Investagrams account. If you don’t have one yet you can sign up here. www.investagrams.com

Once you are logged in, you may now proceed to our competition lobby under this link: http://invs.st/InvestagramsTradingLeague2018http://invs.st/InvestaLeague2018

You can input the Organization you want to represent (Optional). Then click the JOIN button!

You may join until Monday —  August 20, 8:45 AM. Everyone will be accepted in the trading lobby, by August 20, so no need to worry.
We will send you a notification once you are accepted in the trading lobby and once the competition is about to begin.

Don’t forget to log-in your accounts once the trading starts!

In Investagrams Trading League, you get a chance to learn, have fun and compete all at the same time! You also get to win awesome PRIZES to boost your stock market journey!

So what are you waiting for?

Join the Investagrams Trading League now!

 

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