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Pump And Dump

Dump And Pump

Pips2Profit

Cameron Benson

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What Are They? (P&D/D&P)

  • EVERY SINGLE MARKET MOVEMENT IS ONE OF THESE TWO!!
  • ALL Trade Setups Are Based Off Of These TWO Patterns!!
  • Defined: Unidirectional move that that ends with a consolidation, BOS and reversal.
    • Markets are fractal!
      • Occurs on all timeframes
    • Understanding of market structure is crucial.

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Characteristics And Nomenclature

  • Relevant High: The last high the market has traded through. The high/low at which point the market began trapping volume. (Trapping people trading in the wrong direction)
  • Trapped Volume: Consolidation after an impulse unidirectional move.
  • Deathline: Line that designates the bulk of where the volume is trapped above the relevant high.
  • Target: In most cases a pump and dump/dump and pump will return to where the move began.

Not Show:

  • Break IN Structure
    • Displays that the market could be about to change directions, but first has to trap people in early (First Mouse), Hit Stops, Induce Opposite Behavior/Trigger Breakouts Traders into the market AND THEN go in the intended direction.
  • High Bull/Low Bear Candle
    • Can act as a buying/selling zone within a consolidation (Later Slides)

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Helping With Entries

  • Pattern is the pattern. This is what I look for with every single entry, in combination with my entry criteria.
  • Works both long and short, pattern simply flips upside down.

My Entry Criteria:

  1. High/Low Formed
  2. Trade Back into that level in 3 pushes (3 push variation)
  3. Break In Structure
  4. Chart Pattern (M/W, Head And Shoulders, Triple Top/Bottom)
  5. Engulfment/Pin Hammer
  6. Time Engulfment

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Making The Pattern Relevant

  • Timing Window
    • Asia: 8PM-11PM
    • London: 2Am-5Am
    • New York: Currencies: 8Am-11Am

All Times Are EST

  • Round Numbers and Quarter Levels (The Price)
    • Act as support and resistance
    • Bank/Institutional Levels
    • Areas for Trapped Volume. (Trapped Traders)
  • Trade SETUPS
    • First Red Day/First Green Day
    • Inside Day
    • 3 Days Previous Days High/Low
    • Day 2 Trend
    • Day 3 Trend
    • Day 3 Reversal
  • Areas Of Interest
    • Previous/Current Months High/Low
    • Previous/Current Weeks High/Low
    • Previous/Current Days High/Low
    • Previous/Current Session High Low
    • Previous/Current 4 H Candle
    • Previous/Current 1 H Candle

This Does NOT Mean You Need ALL Of These Levels On Your Chart: THEY ARE JUST CONSIDERATIONS.

Regardless of Trade Setup, entry remains the same (Pump And Dump/Dump And Pump)

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