MiguelS 4 Posted July 13, 2021 Hi all, Lately I've been having an issue with trying to trade breakouts but constantly falling into bull or bear traps. For example, today I longed NIO when it broke yesterday's value area, but it promptly reversed and stopped me out. I'm thinking of delaying my entries a little bit so that I can get more confirmation, at the risk of missing part of the move. Any advice on avoiding bull or bear traps? Thanks! Miguel Share this post Link to post Share on other sites
Upendra 4 Posted July 13, 2021 Was there a volume spike when the price went up? That’s a strong correlation that there is a demand vs it being a weak push upwards/downwards? Share this post Link to post Share on other sites
MiguelS 4 Posted July 13, 2021 (edited) I think so, yes. I went in on the hammer candle as per the screenshot below. Two candles back, the big bull candle had high volume. Edited July 13, 2021 by MiguelS Share this post Link to post Share on other sites
Upendra 4 Posted July 13, 2021 I think it was just a bad break. In hindsight you could have bailed out at the 2nd lower high candle after entry. Looks like you stuck to your play book which is good. 1 Share this post Link to post Share on other sites
MiguelS 4 Posted July 13, 2021 Thanks man, I appreciate your answer. 1 Share this post Link to post Share on other sites
