Stop hunting

could someone explain this more clearly?

does this mean simply setting price targets based on anticipation of stops triggering pressures on prices? so many new long positions opening at a round number will create a upward pressure, while a retracement back to a stop-loss will create selling and a cascade effect resulting in a downard pressure?

im confused. :frowning:

me too :eek: :smiley:

Try the following link to as a starter to try answer your question :Stop Hunting

Better people than me will be able to give you more detail on specific parts of your question.

Kind regards, Tymen Wortel, Perth, Western Australia.

I’ve read stop-hunting to be described as institutional traders at banks and market-makers at retail forex brokerages driving the price into their customers’ stops or the stops of other traders. Since a brokerage can quote its own internal forex prices, it has the ability to move its prices from the normal interbank rates to trigger customer stops.

If you feel that your broker is up to shifty business then compare the 1 hour prices with the prices on the following hyperlink of a NDD broker that uses ECN.

You can compare the prices pip by pip every second!

Set the time frame of your charting program to 1 hour.

EFX - IntelliChart

Regards, Tymen Wortel, Perth, Western Australia.