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Record W4411306904 · doi:10.1016/j.irfa.2025.104369

Examining high-frequency patterns in Robinhood users’ trading behavior

2025· article· en· W4411306904 on OpenAlexafffund
David Ardia, Clément Aymard, Tolga Cenesizoglu

Bibliographic record

VenueInternational Review of Financial Analysis · 2025
Typearticle
Languageen
FieldEconomics, Econometrics and Finance
TopicFinancial Markets and Investment Strategies
Canadian institutionsHEC Montréal
FundersNatural Sciences and Engineering Research Council of CanadaSchweizerischer Nationalfonds zur Förderung der Wissenschaftlichen Forschung
KeywordsHigh-frequency tradingBusinessEconomicsComputer scienceEconometricsFinancial economicsAlgorithmic trading

Abstract

fetched live from OpenAlex

Using intraday (hourly) and overnight changes in the number of Robinhood (RH) investors holding a stock, we examine their high-frequency trading behaviors in response to contemporaneous and lagged returns. RH investors do not react to contemporaneous returns. However, they respond to lagged intraday or overnight returns, exhibiting three high-frequency behaviors: (i) the number of RH investors increases more for stocks with extreme lagged returns than for those with moderate returns, suggesting attention-driven buying; (ii) this reaction is asymmetric, with larger increases in the number of RH users following extreme negative returns compared to extreme positive returns, suggesting that their contrarian buying is stronger than their momentum buying; (iii) this asymmetry is strongest immediately after extreme returns and dissipates over time. Compared to findings from daily data, our analysis shows that daily data underestimates this asymmetry. Further analyses reveal greater attention to overnight movements, exacerbated behaviors during COVID-19, and variation across firm sizes, with more contrarian buying for larger-cap firms. • Robinhood investors do not react to contemporaneous returns but respond to lagged intraday and overnight returns. • They show attention-driven buying, with more buying after extreme lagged returns than moderate ones. • Their reaction is stronger after extreme lagged negative returns. • This asymmetry is underestimated in daily data and is more pronounced for overnight movements, large-cap firms, and during COVID-19.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame distilled prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. Learned from the 10,348 direct Codex labels and 10,348 direct Gemma labels. Candidate is the union of thresholded teacher heads; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels or direct frontier model labels.

metaresearch head score (Codex)0.001
metaresearch head score (Gemma)0.001
Version: codex-gemma-dda1882f352aValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Observational · Consensus signal: Observational
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.400
Threshold uncertainty score0.928

Codex and Gemma teacher scores by category

CategoryCodexGemma
Metaresearch0.0010.001
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0010.000
Bibliometrics0.0010.002
Science and technology studies0.0000.000
Scholarly communication0.0000.000
Open science0.0000.000
Research integrity0.0000.000
Insufficient payload (model declined to judge)0.0010.000

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.033
GPT teacher head0.262
Teacher spread0.229 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one teacher head, not a consensus.

The models applied no category: nothing in the taxonomy fit this work.
Study designObservational
Domainnot available
GenreEmpirical

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations1
Published2025
Admission routes2
Has abstractyes

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