Stop Hunt
Volume Price Analysis glossary · Volume Price Analysis
Definition
A deliberate move by larger players into known stop-loss clusters to trigger them and create temporary liquidity, often followed by quick reversal.
Stop Hunt in plain English
A "stop-loss" is a safety order lots of traders set: "if the price drops to $50, sell me out automatically so I stop losing money." Because many people cluster their stops at the same obvious spots, big players know exactly where a pile of forced selling is waiting. In a stop hunt they shove the price right into that cluster on purpose to set off all those orders, then scoop up the cheap shares those panic-sells create — and price often snaps back the other way. Think of it like someone rattling a fruit tree at the one branch everyone's apples hang on, then catching the apples that fall.
Learn these first
Related Volume Price Analysis terms
Volume Price Analysis practice questions · Volume Price Analysis flashcards · Volume Price Analysis study guide