joebrownFX

joebrownFX Updated 

As we can see the black area indicates a potential zone where retail traders are tricked into going long by the illusion of fake support. Large institutions and experienced traders know most novices will have their stop losses just below this level. Institutions and banks manipulate these levels and take out stop losses to gain liquidity in the market. Once a stop...

joebrownFX Updated 

This could potentially turn into a stop hunt. As we see price created the illusion it was bouncing off support (see the blue arrow), and has now returned and broken below. 95% of retail traders are told to buy at support and sell at resistance.Guess where they are also told to place their stops? Right at the dollar sign. Liquidity the banks need to fill their...

joebrownFX

Here is the follow up to the previous post and the prediction I made. NZD news helped reach the target faster. Amazing R:R of 6:1 as the stop hunt was very shallow, but that's basically how it is done. All the people who went long earlier and got stopped out must be feeling pretty sad now. I'm happy with this trade.