Short YouTube clip (Kardec Trader, Apr 8, 2024) featuring TraderTom disputing the conspiracy that banks/institutions ‘hunt’ retail traders' stop losses. He cites the BIS (Bank for International Settlements) estimate that retail traders account for about 5% of daily volume and argues retail stop placement (above highs/below lows) and small capital make them insignificant targets.
Do you think that banks and institutions hunt for retail CFDs, traders, stop losses? No, please don't. Now, here's the, here's, here's the thing. What I want to say to you is this. I did some intense work on the whole conspiracy theory of institutions chasing. Yes. And one of the things that I use as a resource for my argument against it is the BIS report. BIS is the bank of International Settlement. And in the bank of International Settlement, they estimate that retail traders, which basically is still you and I, definitely, we make up 5% of the daily volume. We are not even small fish. We are so insignificant. No, the real problem is that people like you and I and everybody else, we always place our stop loss above the old highs or below the old lows, because that's what we do. And we don't have big budgets.
