Right. My point is it is illegal to enter an order into the market with the intent of goading someone into trading or to manipulate the price unless it is a bona-fide offer to buy or sell. Intent matters with regard to illegality, and I don't think anybody questions the 'intent' of most HFT shops.

Creating the illusion of volume where none exists has long been illegal - people used to paint the tape long before HFT exists to achieve the same thing.

You've provided a good description of why HFT do what they do, and one could argue that laws need to be changed to allow this market behavior. (I would disagree) Much of what they do is illegal by present law, but none of the big market players want the law enforced, so the SEC looks the other way.