Large Unmatched Trades on Pre Race Markets

[kenfrost]

Just wondering if anyone can help me understand this scenario, that I have seen from time to time on the UK horse pre race markets 5 minutes or so before the race.

Sometimes I have seen on these markets (where approx £100K or so has been matched) large unmatched trades (back or lay) of £1K, 2K etc sitting a few ticks away from the current price either on the lay or back side of the ladder. The other unmatched trades either side of these walls of cash are generally around £80-£150ish.

My question is this:

1 Is this a cumulation of numerous closing back/lay trades from various traders who all (by happenstance) think that the price will move there?, or

2 Is it a trader who has matched a large sum elsewhere chancing his arm and closing it off with one large sum (unlikely as I assume such traders would drip feed)?, or

3 Is it someone trying to stop the market price moving beyond that particular level (be it back or lay)?

If 3 what is the trader hoping to achieve here?

Your comments and thought are very welcome

Thanks

[Anbell]

Perhaps d) Someone trying to have an actual bet (back or lay)

[kenfrost]

Perhaps d) Someone trying to have an actual bet (back or lay)

That is of course also a possibility I suppose?

[Anbell]

It could be a bookie trying to get their book in order

[kenfrost]

It could be a bookie trying to get their book in order

that makes sense, just struck me as odd given the wall of cash was several ticks away from the trading price and not guaranteed to match.

[Euler]

When I see a large order that interests me, I keep a close eye on it. But what I'm looking for is if the money moves when the price ticks up or down, in which case I consider it false money. But if it moves and gets matched, then it's somebody trying to get matched, and I'll jump in front of it.

https://www.youtube.com/watch?v=Y8G2zvtcJ7I

[kenfrost]

When I see a large order that interests me, I keep a close eye on it. But what I'm looking for is if the money moves when the price ticks up or down, in which case I consider it false money. But if it moves and gets matched, then it's somebody trying to get matched, and I'll jump in front of it.

https://www.youtube.com/watch?v=Y8G2zvtcJ7I

Thanks, that makes sense. But I may have misunderstood you..if it gets matched how do you jump in front of it as surely the opportunity has then passed?

[kenfrost]

Thanks Peter, I asked my question before watching the video..now I understand what you meant

BTW, wrt false money ..is that where someone is trying to block the price moving?

[Euler]

Thanks Peter, I asked my question before watching the video..now I understand what you meant

BTW, wrt false money ..is that where someone is trying to block the price moving?

People sometimes have money in the market to try and prevent the price from moving or making look like it isn't going to move.

Have a look at a quality race and look for something priced at 10's in the market. It often shows up there.

[kenfrost]

Thanks Peter, I asked my question before watching the video..now I understand what you meant

BTW, wrt false money ..is that where someone is trying to block the price moving?

People sometimes have money in the market to try and prevent the price from moving or making look like it isn't going to move.

Have a look at a quality race and look for something priced at 10's in the market. It often shows up there.

Thanks will do