These traders have been stopped out right before watching the price
move in their favor again.
Not exact matches
For example, if you set a 50 pip trailing stop on the EURUSD, the stop will not
move up until your position is
in your
favor by 51 pips, and then the stop will only
move again if the market
moves 51 pips above where your trailing stop is, so this way you can lock
in profit as the market
moves in your
favor while still giving the trade room to grow and breath.
When the price
moves in their
favor, the whales can relocate their position to squeeze the price range
again.
ANALYST TAKE: «Markets never have been convinced about a rate hike this year but these reports have once
again tipped the balance back
in favor of a March 2017
move, rather than December, while September is only 15 percent priced
in,» said Craig Erlam, chief market analyst at OANDA.