Kardec Trader explains why retail trading methods like support and resistance work temporarily: they create liquidity that larger traders exploit. Smart money pushes price up to trigger long entries, then reverses to capture that liquidity before moving the market.
Chapters
These retail concepts are all used to build liquidity in the market. You have to understand a lot of people ask me like then why don't I trade these retail concepts if they somewhat work you have to understand that they temporarily work they work for good reason purposely to induce liquidity into the market if these concepts never worked smart money support resistance and why would people trade them Sellers are looking to take entries up here the market moves down to the downside and maybe sometimes what tends to happen as well is since we're now trading back at this low and we understand structure traders retail traders and any sort of trade looking to go long they're going to look to enter in this area so in here so sometimes what occurs is a reaction enough understand that buyers are looking to take entries at this low the market gives a pullback and then sometimes what I can do is manage to catch a sell entry up here and I can write it down into the liquidity.