Stop-hunting: fact or venting?
"They ran my stop" is the trader's favourite explanation for losses. The truth is more mundane: obvious stops cluster at obvious levels, and price runs through them because that's what price does at liquidity.
What's your view?
- whether your broker or the market is "hunting" stops
- how you place stops to avoid the obvious clusters
- the loss you blamed on stop-hunting, honestly reassessed
The stop-loss guide explains the clustering dynamics.
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