Most traders see a large candle or strong rebound and think it's an institutional buying area… but the reality is very different. Institutions do not enter the market randomly, and to understand their game, you need to notice the following:
💣 Signs of a genuine institutional area:
1️⃣ A strong candle with an abnormal size:
There needs to be a sudden surge in price, supported by a very large trading volume (greater than 3 or 4 candles before it).
2️⃣ Repeated price rebounds from it in the same manner:
Meaning every time the price approaches it, the same scenario occurs: absorption – reversal – acceleration.
3️⃣ There should be a period of accumulation or silence afterwards:
Institutions like to buy quietly… after the first batch, there is a deceptive silence before the price explodes 💥
🚫 Signs of a false area:
❌ Weak rebound without volume
❌ A very ordinary candle
❌ No reaction when the price returns to the area
🧠 A hidden tip for professionals:
If the area you are suspicious of was broken by a 'lie', meaning the market dropped below it with a single candle and returned immediately — it was likely a malicious institutional accumulation move.
🎯 Try to identify two areas:
One that the price bounced off quietly twice, and the other was easily broken by the market.
Watch the trading volume… it’s the key.
📌 In the next post, we will explain why institutions do not use stop loss like other people — and what they do instead 😈
