{"status":"ok","message-type":"work","message-version":"1.0.0","message":{"indexed":{"date-parts":[[2026,10,17]],"date-time":"2026-10-17T16:42:49Z","timestamp":1792255369107,"version":"4.4.0"},"posted":{"date-parts":[[2026]]},"group-title":"SSRN","reference-count":23,"publisher":"Elsevier BV","content-domain":{"domain":[],"crossmark-restriction":false},"short-container-title":[],"abstract":"<jats:p>Modern trading venues do not only execute orders; they also decode them after execution. We study how post-trade order-flow decoding changes dynamic informed trading. The model separates the coarse signal used to set transaction prices from the sharper signal used to update continuation beliefs. This two-layer structure makes each insider order both an execution choice and an information-management choice. Aggressive trading raises current profits but reveals information that reduces future rents; randomized order flow camouflages information but is costly because it is priced at execution. The model delivers a threshold theory of strategic camouflage. In finite horizons, camouflage arises only when decoding is sufficiently strong, appears first at the front of the trading horizon, and becomes easier to sustain as the horizon lengthens. A continuous-time counterpart shows that camouflage is governed by the shadow value of preserving residual private information and disappears near maturity.<\/jats:p>","DOI":"10.2139\/ssrn.6762219","type":"posted-content","created":{"date-parts":[[2026,5,20]],"date-time":"2026-05-20T14:05:35Z","timestamp":1779285935000},"source":"Crossref","is-referenced-by-count":0,"title":["Post-Trade Order-Flow Decoding and Strategic Camouflage: A Dynamic Theory of Informed Trading"],"prefix":"10.2139","author":[{"given":"Zhigang","family":"Zhang","sequence":"first","affiliation":[],"role":[{"vocabulary":"crossref","role":"author"}]},{"given":"Qiang","family":"Zhang","sequence":"additional","affiliation":[],"role":[{"vocabulary":"crossref","role":"author"}]},{"given":"Shancun","family":"Liu","sequence":"additional","affiliation":[],"role":[{"vocabulary":"crossref","role":"author"}]},{"given":"Yaodong","family":"Yang","sequence":"additional","affiliation":[],"role":[{"vocabulary":"crossref","role":"author"}]}],"member":"78","reference":[{"key":"ref1","doi-asserted-by":"crossref","first-page":"387","DOI":"10.1093\/rfs\/5.3.387","article-title":"Insider trading in continuous time","volume":"5","author":"K Back","year":"1992","journal-title":"Review of Financial Studies"},{"key":"ref2","first-page":"433","volume":"72","author":"K Back","year":"2004","journal-title":"Information in securities markets: Kyle meets Glosten and Milgrom"},{"key":"ref3","doi-asserted-by":"crossref","first-page":"2117","DOI":"10.1111\/0022-1082.00282","article-title":"Imperfect competition among informed traders","volume":"55","author":"K Back","year":"2000","journal-title":"Journal of Finance"},{"key":"ref4","doi-asserted-by":"crossref","first-page":"339","DOI":"10.1146\/annurev-financial-110311-101826","article-title":"The real effects of financial markets","volume":"4","author":"P Bond","year":"2012","journal-title":"Annual Review of Financial Economics"},{"key":"ref5","doi-asserted-by":"crossref","first-page":"2267","DOI":"10.1093\/rfs\/hhu032","article-title":"High-frequency trading and price discovery","volume":"27","author":"J Brogaard","year":"2014","journal-title":"Review of Financial Studies"},{"key":"ref6","doi-asserted-by":"crossref","first-page":"1621","DOI":"10.1111\/jofi.12769","article-title":"Price discovery without trading: Evidence from limit orders","volume":"74","author":"J Brogaard","year":"2019","journal-title":"Journal of Finance"},{"key":"ref7","doi-asserted-by":"crossref","first-page":"1431","DOI":"10.2307\/1913390","article-title":"Strategic information transmission","volume":"50","author":"V P Crawford","year":"1982","journal-title":"Econometrica"},{"key":"ref8","doi-asserted-by":"crossref","first-page":"877","DOI":"10.1093\/jeea\/jvw023","article-title":"Incentives for information production in markets where prices affect real investment","volume":"15","author":"J Dow","year":"2017","journal-title":"Journal of the European Economic Association"},{"key":"ref9","year":"2026","journal-title":"Article 27da: Procedure for the selection of a single CTP for each asset class. 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