#Forex / #Crypto analyst - Swing Trader - Long term investor | Forex since June 2015 | Crypto since Feb 2017 | Not financial advice.
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The ability to recognize the traps will let you understand real intentions of smart money and trade with them.
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We will study the important theory and go through real market examples on XAUUSD chart.
Imagine that there is a strong historical resistance on a price chart.
Because the price reacted to that strongly in the past, many sellers will place selling orders on that in future.
That will confirm a local bearish reversal.
With a bullish trap and inducement, smart money are quietly placing HUGE SELLING ORDERS, making the retail traders close short trades in loss (buy their positions) and buy from the broken structure, providing them the liquidity.
Learn What is Inducement and Trap in Smart Money Concepts
SMC can be applied for the identification of trend reversal in Forex and Gold trading.
We will discuss what is an inducement and a trap in SMC. how to apply them to spot an accurate trading signal.
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