Glossary / Price action

Fakeout

An educational concept. Not a signal, not a strategy, and not a trade Josh has taken.

A flowing ice-blue glass ribbon rising and dipping through empty space, an unlabeled picture of price in motion.
Illustration of the idea, not a market chart and not a result.

A brief move beyond a level, often only by a wick, that does not hold. Fakeouts are usually faster and shallower than failed breakouts.

How traders use it: Traders reduce fakeout risk by requiring a close, a retest, or a higher-timeframe confirmation.

Common mistake: Moving the stop beyond each fakeout until the risk is far bigger than planned.

Related: Failed breakout · Liquidity sweep · Wick (shadow)

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Concepts only. Education only, not financial advice. No pattern on this site has a published win rate.