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FAQ: Why do the robots sometimes take trades that look opposite to the trend?

Q: Why do the robots sometimes take trades that look opposite to the trend?

A: Some robots are designed for mean-reversion. For example, if AAPL rallies for five straight sessions, a contrarian robot may enter a short expecting a pullback based on historical tendencies. Trend-following robots will do the opposite and buy breakouts; each strategy has its logic.

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