The Judas Swing: How Do You Avoid Confusing It With a Genuine Breakout?
The Judas Swing: How Do You Avoid Confusing It With a Genuine Breakout?
The Judas swing is a concept used by some ICT traders to describe a move that initially pushes in one direction before reversing toward the opposite direction.
Imagine NQ pushes above the overnight high shortly after the New York session begins. Price then returns below that level, breaks short-term structure, and starts moving toward sell-side liquidity.
That sequence may fit a bearish Judas swing narrative, but the initial sweep alone is not enough to confirm it.
I would want to see how price reacts after the sweep and whether the next structural move supports the idea.
What do you require before trading a Judas swing? A liquidity sweep alone, displacement, or a confirmed market structure shift?