A trader explains why 90% of traders lose money at range retests, using market maker theory to show how price moves get trapped in accumulation zones. He breaks down daily candlesticks into three phases: accumulation, distribution, and manipulation.
Some people support resistance traders, some people are range traders, etc., etc. So when we get price typically trade within a range, this is just a low, this is just a high. I really subscribe to market maker theory. At this point is where 90% of people get trapped and they're like, this is a retest of the, the range, and we take along, right? That's that break and retest. I would actually frame this as some sort of manipulation back inside of the existing accumulation. Yeah. And then I would look for this to be distribution to there. So if we then visualize that as accumulation, this is distribution, and this is manipulation. How can I frame my daily candle within this perspective?
