Why does the market frequently break key levels and then reverse?
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Because breakout levels are liquidity magnets. Retail traders place stop losses above resistance or below support. Smart money pushes price through these levels to trigger stops, collect liquidity, and then reverse or continue in the true intended direction.
Markets often break key levels to capture liquidity and trigger stop losses before moving in the intended direction
Retails trade stop loses
Big banks and institutions do this deliberately to get liquidity from retail traders , bcz they knows where most stop loss available of retail traders
