Most retail traders lose money because they follow price…
Smart money creates price.
Let’s break it down 👇
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🔍 What Is Smart Money?
Smart Money = big institutional players (banks, whales, market makers)
They don’t chase breakouts — they trap liquidity and reverse price.
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📊 How They Trade:
1. Grab Liquidity
Price moves above/below support/resistance to hit stop losses
That’s where retail traders get liquidated ❌
2. Change of Character (CHoCH)
Structure shifts from bullish to bearish or vice versa
This signals that smart money is in control ✅
3. Order Block Entry
Institutions leave footprints where they placed large orders
These zones = high-probability trade entries
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💡 SMC Trading Setup Example:
Price breaks previous low → grabs liquidity
CHoCH forms (lower high → higher low)
Price returns to demand zone/order block
🚀 Entry on confirmation, stop below OB, TP at next liquidity level
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🛡️ Risk Management Reminder:
Even smart setups need protection. Always:
Risk max 1–2% per trade
Use proper SL and TP
Wait for confirmation, don’t guess
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✅ Final Tip:
Trading like Smart Money isn’t about indicators —
It’s about reading the story the chart tells.
📌 Follow for Part 2: How to Spot Liquidity Grabs Before They Happen
#smartmoney #smc #BinanceSquareFamily #cryptotrading #OrderBlocks