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The total change in the value of the stock is critical to examine. The stock might experience a change of up to 5 percent in its value. This is thanks to the extensive amount of trading taking place as mutual fund transactions occur.
Another way that high-frequency trading differs from regular transactions is that a high-frequency trade will keep the changes in a stock’s value from being too intense. The added people responding to the mutual fund transaction will keep the stock from going too high. This is because of a mix of people taking advantage of the change and people who might feel the stock is going to head in the wrong direction.
