#ZeroCostEducation #RiskControl $BTC *Stop Hunt Patterns: Avoid the Trap ๐*
*What is a Stop Hunt? ๐ค*
A market move designed to trigger stop losses, create liquidity, and let smart money enter.
*Common Patterns ๐*
1. *Liquidity Sweep*: Price wicks above swing high, triggering stops, then reverses.
2. *False Breakout*: Price breaks out, but fails to hold, snapping back inside range.
3. *Session Open Spike*: Fast spike up/down at session open, grabbing stops, then reversing.
4. *News-Based Stop Hunt*: Sudden pump/dump before big news, trapping traders.
*How to Spot a Stop Hunt ๐ง*
1. Price nearing major swing high/low
2. Cluster of equal highs/lows
3. Low liquidity or session open approaching
4. Quick wick and rejection candle
5. Divergence in volume or RSI
*Trade Against Stop Hunts ๐ก*
1. Mark liquidity zones
2. Wait for sharp wick into zone
3. Watch for instant rejection
4. Confirm with volume spike or divergence
5. Enter opposite to stop hunt
*Final Thought ๐*
Spot the hunt, fade the trap, and trade with smart money!