Subscribers ❤️ catch my 😘 How to bypass market makers and bots? continuation of the topic... Here is the main arsenal you face every day.
a) Working with the order book (Order Book)
This is the classic genre. Bots manipulate the order book to create the illusion of demand or supply.
Walls: Huge buy or sell orders that hang in the order book.
Why?
1. Psychological barrier:
A large "wall" for selling tells retail traders: "There is strong resistance here, the price will not go further, do not buy." Or conversely, a large wall for buying: "There is strong support here, you can buy, the price will bounce back."
2. Liquidity collection: Often these walls are fake (spoofing). The algorithm places a large order to scare or reassure traders, and at the last moment removes it to make the price jump in the direction it wants, triggering stop losses.
Liquidity Grabbing: Bots intentionally "knock out" clusters of stop losses that are located behind key support/resistance levels. They move the price with a sharp impulse to activate these orders and get a quick move.
To be continued....