I often wish that trading could be as straightforward as going or just make a call "long or short" whenever the price moves in a certain direction.
Unfortunately, it's not always that simple, especially when major impact news about to release.
With a significant FOMC announcement on the horizon, market makers may try to manipulate the price to deceive retail traders into taking trades on the wrong side.
This manipulation can cause the price to move the opposite of the direction and that market makers desire to complete their scheme. It's important to be cautious and knowledgeable about placing trades and setting stops at appropriate levels.
I've seen action within a specific MM where one of their larger professional clients dumps a large amount and it temporarily skews their prices as they buffer the trade and create a mini trend they can fade against the suckers that see a candle pop and jump in for a quick scalp and suddenly the move has reversed, scalping the would be scalpers.
No manipulation in Forex? Just watch where your N3 is..........
That's my newbie view only.
Unfortunately, it's not always that simple, especially when major impact news about to release.
With a significant FOMC announcement on the horizon, market makers may try to manipulate the price to deceive retail traders into taking trades on the wrong side.
This manipulation can cause the price to move the opposite of the direction and that market makers desire to complete their scheme. It's important to be cautious and knowledgeable about placing trades and setting stops at appropriate levels.
I've seen action within a specific MM where one of their larger professional clients dumps a large amount and it temporarily skews their prices as they buffer the trade and create a mini trend they can fade against the suckers that see a candle pop and jump in for a quick scalp and suddenly the move has reversed, scalping the would be scalpers.
No manipulation in Forex? Just watch where your N3 is..........
That's my newbie view only.
I come from the future.
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