Why a Failed Breakdown Can Trap Sellers
Why a Failed Breakdown Can Trap Sellers
Imagine NQ breaks below a support area. Sellers enter expecting continuation, but price quickly returns above the level.
The breakdown has failed to hold.
If price then begins moving higher, sellers who entered late may need to exit, potentially adding buying pressure.
That can create an interesting setup, but only if the market confirms the recovery. A quick move back above support isn't enough on its own.
I want to see the failed breakdown, the reclaim, and a clear level that would prove the idea wrong.