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    Market Maker Traps

    Uploaded by

    majidy
    This document provides lessons on market maker traps involving herd mentality, wedge breakout reversals, and identifying stop hunts for profitable trading opportunities. The key points covered are: 1. Herd mentality can influence traders to adopt certain behaviors emotionally rather than rationally, which market makers exploit through pre-created highs and lows. 2. Wedge patterns paint themselves out across timeframes and currency pairs, with the breakout intended to induce retail traders in the opposite direction to generate liquidity for large institutional orders. 3. Entries should be placed after the stop hunt at pre-created highs or lows, with multiple targets of 30, 50, and 100+ pips and stop

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd

    Market Maker Traps

    Uploaded by

    majidy
    1K views6 pages
    This document provides lessons on market maker traps involving herd mentality, wedge breakout reversals, and identifying stop hunts for profitable trading opportunities. The key points covered are: 1. Herd mentality can influence traders to adopt certain behaviors emotionally rather than rationally, which market makers exploit through pre-created highs and lows. 2. Wedge patterns paint themselves out across timeframes and currency pairs, with the breakout intended to induce retail traders in the opposite direction to generate liquidity for large institutional orders. 3. Entries should be placed after the stop hunt at pre-created highs or lows, with multiple targets of 30, 50, and 100+ pips and stop

    Original Title

    Market Maker Traps (2)

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    This document provides lessons on market maker traps involving herd mentality, wedge breakout reversals, and identifying stop hunts for profitable trading opportunities. The key points covered are: 1. Herd mentality can influence traders to adopt certain behaviors emotionally rather than rationally, which market makers exploit through pre-created highs and lows. 2. Wedge patterns paint themselves out across timeframes and currency pairs, with the breakout intended to induce retail traders in the opposite direction to generate liquidity for large institutional orders. 3. Entries should be placed after the stop hunt at pre-created highs or lows, with multiple targets of 30, 50, and 100+ pips and stop

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    1K views6 pages

    Market Maker Traps

    Uploaded by

    majidy
    This document provides lessons on market maker traps involving herd mentality, wedge breakout reversals, and identifying stop hunts for profitable trading opportunities. The key points covered are: 1. Herd mentality can influence traders to adopt certain behaviors emotionally rather than rationally, which market makers exploit through pre-created highs and lows. 2. Wedge patterns paint themselves out across timeframes and currency pairs, with the breakout intended to induce retail traders in the opposite direction to generate liquidity for large institutional orders. 3. Entries should be placed after the stop hunt at pre-created highs or lows, with multiple targets of 30, 50, and 100+ pips and stop

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    of 6

    Market Maker Traps Two #2

    Telegram Channel: https://t.me/marketmakertraps

    Admin: https://t.me/HunterMagau

    Lesson one #1: Herd mentality

    Herd, mob and pack mentality, also lesser known as gang mentality,
    describes how people can be influenced by their peers to adopt certain
    behaviours on a largely emotional, rather than rational, basis.

    This trade relies on a very simple principle, the herd of retail traders is
    taught to trade the breakout of a “wedge”.

    The “wedge” formation paints itself out on all different timeframes and
    currency pairs.

    The breakout of the wedge must stop hunt to a pre-created low or high (low
    / high of the day, week or month).

    The intention of the wedge breakout is to induce as many retail traders as


    possible in the opposite direction. This will generate the liquidity needed to
    fill the orders of the institutional traders that play with billion dollar
    contracts.
    Lesson two #2: Wedge breakout reversal
    Lesson three #3: Entry/Exit
    Our entry is right after the stop hunt, the low or high. I normally place 2 to 3
    entries during the stop hunt (depending on the volatility), about 3 to 6 pips
    apart. This way I can have 3 different targets. My first TP (target) is 30 pips,
    Take Profit 2 (TP2), is 50 pips from our entry at the high or low. Target 3
    (TP3) can be either left open or aim for 100+ pips.

    The stop loss should be calculated according to your account size. Your
    stop loss should never exceed more than 25 pips. Once you can easily
    recognize a stop hunt in action, you will be able to take trades with 5 or
    even 10 pip SL’s.

    Lesson four #4: “Interpreting stop hunt”

    A “Stop Hunt” is a sharp move to the high or low. This can be the high or
    low of the day, previous day, high or low of the week / month or year. The
    larger the timeframe the larger the stop hunt. Most of the examples we go
    over will be 15 min timeframe and USD related pairs. Not because these
    patterns only happen on this timeframe and these pairs, but because it is
    easier to understand in my opinion (and also because I am an intra-day
    trader).
    ////////////////\\\\\\\\\\\\\\\\\\\\\\\Examples////////////////////////////\\\\\\\\\\\\\\\\
    ////////////////////\\\\\\\\\\\\\\Good//////\\\\\\Luck//////////////\\\\\\\\\\\\\\\\

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