📍 The Harsh Reality of the Market
90% of traders lose money, and it’s not just because of bad strategy—it’s because the market is designed to exploit retail traders.
Your broker isn’t your friend. Many retail brokers profit directly from your losses.
Institutions move markets, and they have zero interest in helping you win.
📍 The Biggest Market Manipulation Tactics You Must Know
1️⃣ Stop Hunts (Where Retail Traders Get Wrecked)
🔹 Ever notice how price magically taps your stop loss before reversing? That’s not bad luck—it’s intentional.
🔹 What’s happening? Big players push price into retail stop zones to grab liquidity before moving in their true direction.
🔹 How to Avoid It:
Don’t place stops where everyone else does (round numbers, previous highs/lows).
Wait for liquidity grabs before entering trades.
💀 Example:
You buy EUR/USD, put your stop loss below support.
Price dips just below your stop, takes you out, then reverses and rockets in your original direction.
You just got stop-hunted.
2️⃣ False Breakouts (The Ultimate Trap)
🔹 Ever see a perfect breakout setup, only for price to reverse HARD right after? That’s a false breakout—a trap for retail traders.
🔹 What’s happening? Institutions push price beyond a key level, making it look like a breakout, then reverse it.
🔹 Why they do it: To lure in breakout traders and trigger stops on the opposite side.
⚠️ How to Avoid It:
✅ Wait for retests & confirmations – Don’t enter breakouts blindly.
✅ Check volume – Real breakouts usually come with high volume.
3️⃣ Spread Manipulation (How Brokers Rob You Without You Noticing)
🔹 Ever entered a trade and got stopped out immediately, even though price never touched your stop? That’s your broker widening the spread.
🔹 Why they do it:
During news events, they widen the spread to trigger stops and liquidate traders.
Some brokers use “B-Book” accounts, where they profit when you lose.
👀 How to Avoid It:
✅ Use a trusted ECN broker, not a market maker broker.
✅ Don’t trade right before high-impact news releases.
4️⃣ Liquidity Grabs (Smart Money’s Secret Weapon)
🔹 Liquidity is what fuels the market. Big players can’t enter trades unless they trick retail traders into giving them liquidity.
🔹 How it works:
Price moves aggressively into a liquidity zone.
Retail traders think it’s a breakout and enter positions.
Smart money takes the other side, pushing price in the opposite direction.
🔥 Example:
EUR/USD spikes up past resistance—retail traders FOMO in.
Institutions dump short orders into that fake move.
Price collapses.
📍 How to Protect Yourself from Market Manipulation
🛑 Stop thinking like a retail trader. Institutions NEED your bad trades to survive. If you don’t understand liquidity, stop hunts, and fake breakouts, you’re handing them your money.
✅ Trade AFTER the manipulation happens – Let them take liquidity first, then enter in the real direction.
✅ Stop using tight stop losses in obvious places – The tighter the stop, the easier it is to hunt.
✅ Use higher timeframes for confirmation – Avoid falling for low timeframe noise.
🔑 Key Takeaway:
The market isn’t fair. But once you understand how the game is played, you stop being the victim and start trading like the winners. Institutions don’t take losses—retail traders do. Don’t be DUMB MONEY.