Trading with market resistance and concave price impact

We consider an optimal trading problem under a market impact model with endogenous market resistance generated by a sophisticated trader who (partially) detects metaorders and trades against them to exploit price overreactions induced by the order flow. The model features a concave transient impact driven by a power-law propagator with a resistance term responding to the trader's rate via a fixed-point equation involving a general resistance function. We derive a (non)linear stochastic Fredholm ...