What Is a Delta Trap?
A Delta Trap occurs when aggressive buyers or sellers enter the market, but price moves against their expectations.
For example:
- Buyers aggressively lift the ask.
- Price fails to move higher.
- Selling pressure increases.
- Price starts moving lower.
Late buyers may become trapped in losing positions.
This behaviour can sometimes create fuel for a move in the opposite direction.
Aggressive participation doesn't guarantee directional success.
Have you ever spotted trapped buyers using footprint charts?
