Just to be clear, there is nothing wrong with this. Infact, sitting around and reverse engineering what other traders are doing is what many funds do. I'm in this group so I"m happy to answer questions if anyone has any.
> Every two seconds they predicted the average price movement (on OKcoin) over the following 10 seconds. If the price movement was higher than a certain threshold, they bought a Bitcoin; if it was lower than the opposite threshold, they sold one; and if it was in-between, they did nothing.
To be clear, this is the core of what most HFT systems do these days. Consume many different factors, give each factor a decay factor to tell the system when the signal goes stale and distill them all into a value that says, but or sell or stay.
It's worked well for Renaissance Technologies:)