Signal-Driven#027

Bot Front-Running Detection

Watch the order book for other bots that trade mechanically (for example, one that always places a buy a fixed amount below the best offer) and place your own order just ahead of where that bot will predictably trade next. You profit from the price pressure the other bot creates when it fills, because you are positioned in front of its move.

What you need to run it

  • Order-book replay data and pattern-mining tools
  • Very low-latency execution to beat the target bot
  • Compliance check that the strategy respects platform ToS

Where this applies

Markets on Polymarket where bot front-running detection is the natural play:

  • Will Bitcoin be up at the 4pm ET close today? (recurring hourly/daily market)
  • Will Ethereum be above $4,500 at the daily close on [date]?
  • Will the [home team] win tonight's NBA game? (per-game market, repeated nightly)

Capabilities this demands

Low latencyData ingestionCustom code / API

At a glance

CategorySignal-Driven
Requirements3
CapabilitiesLow latency, Data ingestion, Custom code / API
VenuePolymarket (CLOB, Polygon)

Build it

Related signal-driven strategies

This is documentation, not advice. Poly Research & Robotics publishes how these strategies work because the method should be checkable — not as a recommendation to trade them. See the full strategy database (147 strategies) or the data resources directory.
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