A common use for algorithmic trading in finance is executing high-frequency trading strategies, which involve making numerous small trades at rapid speeds. Algorithms analyze market data in real-time, identifying patterns and executing orders based on predefined criteria. This automation allows traders to capitalize on fleeting opportunities, reducing the impact of human emotions and errors. Additionally, algorithmic trading enhances market efficiency by facilitating liquidity and ensuring orderly price movements. Overall, it significantly transforms trading practices within the financial ecosystem.