Today is part 2 of Market Mastery Series, Let's Remember one important Trading Concept Daily, That's the Aim of this series.
The Myth Of Breakouts
&Smart Money Trap
Not every Breakout is real in fact , most are traps.🦾
Retail traders love breakout trading.Price Crosses a level , they jump in. But smart Money? They wait. They Create the breakout to fake it.
*Price Consolidates ( looks like a breakout setup).
* A Sudden breakout occurs.
*Retail enters aggressively.
*Price reverses hard - leaving them trapped and stopped out.
* Then the real Move begins ...in the Opposite direction.
This is called a Liquidity Grab and it's how smart Money fills large Positions.
Pro tip
Don't chase Breakouts blindly. Wait for the retest or sign of rejection before acting.
$ BTC $ETH $ SOL $XRP $BNB $ DOGE