From my blog http://goldcoppertungsten.blogspot.ca/2013/04/venture-exchange-plummeting.html Keep in mind who was behind changing the rules in 2010 that set all this up.
Here's what the regulators say about HFT:
Also, please note the existence of High Frequency Trading (HFT) [a subset of Algorithmic Trading]. HFT attempts to profit by exploiting market liquidity imbalances or short-term pricing inefficiencies. In as much, HFT is not a strategy onto itself rather a means of implementation and execution of a particular trading strategy on one (or several) electronic trading platforms and is characterized by higher trading volumes (hence smaller board lots), shorter holding periods, and smaller profits at the increment.
In plain English: The traders use faster computers than the exchanges and can front run them before they can react to changes in price between two exchanges. We claim that the exchanges will buy faster computers and beat them. We don't tell you that this is equivalent to an arms race where the traders have a lopsided advantage and the exchanges will never catch up. We were behind the implementation of the rules that permitted this and we sit on our hands and do nothing because we saw how much money they could steal and expect a share when we are out of office.
And yes, they know about:
www.barkerminerals.com/s/NewsReleases.asp?ReportID=567797&_Type=Company-News&_Title=Barker-Minerals-Ltd.-Reports-Dr.-Susanne-Trimbaths-STP-Advisory-Services-LL...