Why does your stop loss always get hit first?
Is it possible that everyone else placed theirs exactly where you did?
Maybe it's time to face an uncomfortable truth about the market and crowd psychology.
Hello✌️
Spend 3 minutes ⏰ reading this educational material.
🎯 Analytical Insight on Bitcoin:
BTCUSDT has established a well-defined range in this zone, triggering multiple stop hunts and now approaching a fresh daily resistance. A confirmed breakout above this level could open the door for an 8% upside move toward the 128,000 area. 📈🧠
Now, let's dive into the educational section,
🎯 Crowd Psychology: The Fixed Target of the Market
In crypto markets, when everyone thinks the same, they tend to lose the same way. One of the clearest signs of this is where stop losses are placed. When a level becomes too obvious to too many traders, it becomes a magnet for liquidity hunters.
Public stop losses are usually placed right below obvious lows or above clear highs. These are areas that everyone has mentally marked as strong support or resistance. Ironically, that’s exactly where a sudden wick appears, takes out stops, and then the market goes right back in the original direction.
🧠 Your Brain Wants Safety, The Market Wants Liquidity
New traders search for “safe” places to hide their stops. That very logic makes those places unsafe. The market needs liquidity to move, and the most liquidity sits right where people feel safe placing their stops.
Remember: stop losses are actual market orders, buy or sell triggers. When yours gets hit, someone else enters a position. Your loss is their entry. This is a zero-sum game.
🐋 Whale Activity Before the Trap
Ever noticed how, just before your stop gets hit, there’s a small move in the opposite direction? That’s bait. Right after, a strong wick sweeps through, takes out public stops, then reverses. It’s not an accident. It’s planned.
If you observe these small shifts with suspicion rather than trust, you’ll often catch the trap before it happens.
💡 Your Trigger Shouldn't Be Where Everyone Else Sets It
There’s a smarter way to manage your stops, ways that avoid the obvious traps:
Use ATR to dynamically calculate distance
Place stops based on candle structure, not just price levels
Wait for confirmed reversal patterns before setting stops
Consider mental stops based on invalidation logic, not fixed price points
⛔️ Blind Trust in Repeated Zones
When a support or resistance level holds multiple times, people begin to trust it blindly. That collective trust becomes a weakness. The market doesn’t respect obvious levels, it exploits them.
If you see it, everyone else sees it. And so does the market. But the market plays a different game. You seek safety, it seeks liquidity.
🎲 Is It Really Your Fault?
Many traders blame themselves when their stop gets hit. The truth? You’re not the problem, your thinking pattern is. Most traders make the same decisions because they learned the same textbook strategies. That’s what makes their stops predictable.
It’s not always about poor analysis. Sometimes, it’s just about being part of the herd.
📉 Practical TradingView Tools to Track Public Stop Zones
Here are a few powerful TradingView tools and indicators you can use to figure out where stop loss clusters are likely hiding. Use them together for better accuracy:
Session Volume (Fixed Range)
Apply this tool to recent ranges or high-volatility zones. Peaks in volume often reveal where most traders are entering or exiting, which means stops are likely nearby.
Liquidity Pools Finder
This indicator estimates areas with potential liquidity pools. These are often the next targets for large moves.
Horizontal Ray or Box Tool
Use these to mark the areas just above highs and below lows. These zones are where most public stops typically sit.
Fair Value Gap (FVG)
Gaps in price action can act as magnets. It's no coincidence that public stops often get hit in these areas during fakeouts or trap moves.
📌 Final Thoughts
When everyone looks at the same level, the market attacks it. Public stop losses are a primary fuel source for liquidity-based moves. Use TradingView tools, train your eye, and place your stops where no one else dares. That’s how you stay out of the trap.
✅ Wrap-Up
If your stop always gets hit right before the big move, it’s not a coincidence, it’s a mindset issue. Stop thinking like the crowd, and the market will stop treating you like one.
✨ Need a little love!
We pour love into every post your support keeps us inspired! 💛 Don’t be shy, we’d love to hear from you on comments. Big thanks, Mad Whale 🐋
📜Please make sure to do your own research before investing, and review the disclaimer provided at the end of each post.
Is it possible that everyone else placed theirs exactly where you did?
Maybe it's time to face an uncomfortable truth about the market and crowd psychology.
Hello✌️
Spend 3 minutes ⏰ reading this educational material.
🎯 Analytical Insight on Bitcoin:
BTCUSDT has established a well-defined range in this zone, triggering multiple stop hunts and now approaching a fresh daily resistance. A confirmed breakout above this level could open the door for an 8% upside move toward the 128,000 area. 📈🧠Now, let's dive into the educational section,
🎯 Crowd Psychology: The Fixed Target of the Market
In crypto markets, when everyone thinks the same, they tend to lose the same way. One of the clearest signs of this is where stop losses are placed. When a level becomes too obvious to too many traders, it becomes a magnet for liquidity hunters.
Public stop losses are usually placed right below obvious lows or above clear highs. These are areas that everyone has mentally marked as strong support or resistance. Ironically, that’s exactly where a sudden wick appears, takes out stops, and then the market goes right back in the original direction.
🧠 Your Brain Wants Safety, The Market Wants Liquidity
New traders search for “safe” places to hide their stops. That very logic makes those places unsafe. The market needs liquidity to move, and the most liquidity sits right where people feel safe placing their stops.
Remember: stop losses are actual market orders, buy or sell triggers. When yours gets hit, someone else enters a position. Your loss is their entry. This is a zero-sum game.
🐋 Whale Activity Before the Trap
Ever noticed how, just before your stop gets hit, there’s a small move in the opposite direction? That’s bait. Right after, a strong wick sweeps through, takes out public stops, then reverses. It’s not an accident. It’s planned.
If you observe these small shifts with suspicion rather than trust, you’ll often catch the trap before it happens.
💡 Your Trigger Shouldn't Be Where Everyone Else Sets It
There’s a smarter way to manage your stops, ways that avoid the obvious traps:
Use ATR to dynamically calculate distance
Place stops based on candle structure, not just price levels
Wait for confirmed reversal patterns before setting stops
Consider mental stops based on invalidation logic, not fixed price points
⛔️ Blind Trust in Repeated Zones
When a support or resistance level holds multiple times, people begin to trust it blindly. That collective trust becomes a weakness. The market doesn’t respect obvious levels, it exploits them.
If you see it, everyone else sees it. And so does the market. But the market plays a different game. You seek safety, it seeks liquidity.
🎲 Is It Really Your Fault?
Many traders blame themselves when their stop gets hit. The truth? You’re not the problem, your thinking pattern is. Most traders make the same decisions because they learned the same textbook strategies. That’s what makes their stops predictable.
It’s not always about poor analysis. Sometimes, it’s just about being part of the herd.
📉 Practical TradingView Tools to Track Public Stop Zones
Here are a few powerful TradingView tools and indicators you can use to figure out where stop loss clusters are likely hiding. Use them together for better accuracy:
Session Volume (Fixed Range)
Apply this tool to recent ranges or high-volatility zones. Peaks in volume often reveal where most traders are entering or exiting, which means stops are likely nearby.
Liquidity Pools Finder
This indicator estimates areas with potential liquidity pools. These are often the next targets for large moves.
Horizontal Ray or Box Tool
Use these to mark the areas just above highs and below lows. These zones are where most public stops typically sit.
Fair Value Gap (FVG)
Gaps in price action can act as magnets. It's no coincidence that public stops often get hit in these areas during fakeouts or trap moves.
📌 Final Thoughts
When everyone looks at the same level, the market attacks it. Public stop losses are a primary fuel source for liquidity-based moves. Use TradingView tools, train your eye, and place your stops where no one else dares. That’s how you stay out of the trap.
✅ Wrap-Up
If your stop always gets hit right before the big move, it’s not a coincidence, it’s a mindset issue. Stop thinking like the crowd, and the market will stop treating you like one.
✨ Need a little love!
We pour love into every post your support keeps us inspired! 💛 Don’t be shy, we’d love to hear from you on comments. Big thanks, Mad Whale 🐋
📜Please make sure to do your own research before investing, and review the disclaimer provided at the end of each post.
Educational plans & Free signals, all in telegram:👉t.me/madwhalechannel
Hey buddy, If you’re up for it, would love if you signed up on this exchange with my link. I get a tiny cut no ads, no pressure, just a little love: 👇bit.ly/4jp4yMI
Hey buddy, If you’re up for it, would love if you signed up on this exchange with my link. I get a tiny cut no ads, no pressure, just a little love: 👇bit.ly/4jp4yMI
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Educational plans & Free signals, all in telegram:👉t.me/madwhalechannel
Hey buddy, If you’re up for it, would love if you signed up on this exchange with my link. I get a tiny cut no ads, no pressure, just a little love: 👇bit.ly/4jp4yMI
Hey buddy, If you’re up for it, would love if you signed up on this exchange with my link. I get a tiny cut no ads, no pressure, just a little love: 👇bit.ly/4jp4yMI
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.