scalper

scalper

1. A market maker who assigns excessive markups or markdowns on security transactions. Such activity is in violation of National Association of Securities Dealers rules.

2. An investment adviser who takes a position in a security before publicly recommending the security for purchase. The scalper then sells the security at a profit after the recommendation has caused investors to buy the security and push its price higher. This type of activity must be disclosed to buyers.

3. An in-and-out trader who attempts to profit on relatively small price changes.