Kathy Lien
BKTraders and Prop Traders Edge
Most traders don't realize that the conventional way they've been taught to place stops is actually setting them up to be hunted by professionals. After years of watching retail traders get systematically picked off at obvious levels, I've discovered why so many traders lose money while smart money profits from their predictable behavior. It's time to abandon the textbook approach and master how professionals really think about risk management! Key insights:
- Revolutionary stop placement strategy - Why placing stops at round numbers and obvious support/resistance levels makes you easy prey for institutional hunters, and how positioning stops beyond crowd clusters dramatically improves survival rates.
- Market manipulation mastery - Learn to identify pump and dump schemes, stop loss hunting, and fake breakouts before they destroy your account, plus the exact red flags professionals watch for.
- Perfect entry timing - My exact step-by-step method for waiting for volume confirmation and avoiding FOMO entries that turn winners into losers within minutes.
- Advanced risk management - How to diversify away from correlated trades, size positions to avoid emotional pain, and scale out profits systematically for consistent gains.
This isn't just about moving your stops a few pips - it's about understanding why big players systematically target retail clusters at predictable levels. When you see sudden spikes clearing stops at round numbers like 1.1000 in EUR/USD, there's usually institutional order flow behind the move. By placing stops beyond the obvious crowd levels, you're avoiding the hunting grounds where retail traders get picked off. Learn why patience eliminates premature stop-outs, how to spot volume-price divergences that signal fake moves, and the exact mindset shift from "following the crowd" to "thinking like smart money." This strategy works across all timeframes and markets because it respects how institutional players actually operate - not randomly, but systematically targeting predictable retail behavior.
Past performance is not indicative of future results. Trading forex carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade any such leveraged products, you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading on margin, and seek advice from an independent financial advisor if you have any doubts.
Editors’ Picks
EUR/USD stays defensive below 1.1750 as USD finds its feet
EUR/USD kicks off the new week on a softer note, holding below 1.1750 in European trading on Monday. The pair faces challenges due to a pause in the US Dollar downtrend, with traders shifting their focus to the delayed US Nonfarm Payrolls and CPI data for fresh directives. The ECB policy decision is also eagerly awaited.
GBP/USD holds steady above 1.3350 as traders await key data and BoE
GBP/USD remains on the back foot above 1.3350 in the European session on Monday, though it lacks bearish conviction and holds above the key 200-day SMA support. The US Dollar holds its recovery mode ahead of key data releases, while the Pound Sterling faces headwinds from the expected BoE rate cut this week.
Japanese Yen adds to strong gains and drags USD/JPY to 155.00 amid hawkish BoJ bets
The Japanese Yen extends its steady intraday ascent through the Asian session on Monday, dragging the USD/JPY pair to the 155.00 psychological mark in the last hour. Against the backdrop of the recent shift in rhetoric from Bank of Japan Governor Kazuo Ueda, an improvement in business confidence reaffirms market bets for an imminent rate hike this week.
Editors’ Picks
EUR/USD stays defensive below 1.1750 as USD finds its feet
EUR/USD kicks off the new week on a softer note, holding below 1.1750 in European trading on Monday. The pair faces challenges due to a pause in the US Dollar downtrend, with traders shifting their focus to the delayed US Nonfarm Payrolls and CPI data for fresh directives. The ECB policy decision is also eagerly awaited.
GBP/USD holds steady above 1.3350 as traders await key data and BoE
GBP/USD remains on the back foot above 1.3350 in the European session on Monday, though it lacks bearish conviction and holds above the key 200-day SMA support. The US Dollar holds its recovery mode ahead of key data releases, while the Pound Sterling faces headwinds from the expected BoE rate cut this week.
Gold climbs to seven-week highs on Fed rate cut bets, safe-haven demand
Gold price rises to seven-week highs to near $4,350 during the early European trading hours on Monday. The precious metal extends its upside amid the prospect of interest rate cuts by the US Fed next year. Lower interest rates could reduce the opportunity cost of holding Gold, supporting the non-yielding precious metal.
Solana consolidates as spot ETF inflows near $1 billion signal institutional dip-buying
Solana price hovers above $131 at the time of writing on Monday, nearing the upper boundary of a falling wedge pattern, awaiting a decisive breakout. On the institutional side, demand for spot Solana Exchange-Traded Funds remained firm, pushing total assets under management to nearly $1 billion since launch.
Big week ends with big doubts
The S&P 500 continued to push higher yesterday as the US 2-year yield wavered around the 3.50% mark following a Federal Reserve (Fed) rate cut earlier this week that was ultimately perceived as not that hawkish after all. The cut is especially boosting the non-tech pockets of the market.
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