Skenobi San: my previous thinking with stop hunting was that it was a move to generate liquidity for a move in the opposite direction e.g. Institutions are short, there is a clump of stops above the market, you run it up there and sell to their buy orders (short covers), thus generating more open short positions for the down move.
Reading through your talk of running stops though. I'm wondering; did you view them more as profit targets than as a means of generating liquidity for a move. e.g. Run price up, then close out your positions by selling to their short cover orders and then exiting the market and bagging 15 pips profit?
Reading through your talk of running stops though. I'm wondering; did you view them more as profit targets than as a means of generating liquidity for a move. e.g. Run price up, then close out your positions by selling to their short cover orders and then exiting the market and bagging 15 pips profit?
"Never Take a Trade You Don't Understand!" - Pres78