Momentum Trap & FOMO Loops
Free Crypto Vault Preview — expansion vs exhaustion, without the chase reflex.
// Overview
The trap baits the chase at the end of a leg, then flips liquidity against the last buyers/sellers. Your edge isn’t guessing the spike — it’s reading the after: did we reclaim and accept, or did it fade?
// Trap Mechanics (Free Glimpse)
Spoof → Sprint → Stall: depth bluffs, fast push, then failure to hold above the break.
Session context: late pushes in dead hours ≠ real breakouts; open/overlap drives honest moves.
// Exhaustion Tells
- Giveback > 50% in 1–2 bars without reclaim — distribution, not “healthy pullback.”
- Wicks at the push end + falling participation; next candle can’t hold bodies above the level.
- First retest fails (twice) — acceptance never prints. That’s the siren.
// Counters
- Acceptance gate: act only after hold/reclaim (e.g., two closes) beyond the level.
- Flip on failed hold: acceptance back inside range → route to mean reversion (mid → opposite edge).
- Window discipline: no new risk outside your timing windows; carry only if structure + time agree.
// Common Mistakes
Trading the Spike
News candle ≠ structure. Wait for reclaim/acceptance; otherwise you’re exit fuel.
Buying the Top Third
Acting in the final expansion zone without a written plan. If you’re late, you’re bait.
