Foundations module · lesson 7 of 32
Why price goes hunting for stops
Speak the market's language: exchange, candle, long/short, leverage, and costs — without this, the rest of the program reads like spellcasting.
Step 1 · Where the stops are
Stops sit below equal lows.
BTC 4h: two lows sit right at 50 625. Whoever bought off them hid a stop just below, and all those stops landed in one place.
low 150 625low 250 625below themstopsBTC· 4h · Feb 16–23, 2024real chart · Binance lowssweepStep 2 · The sweep
Price swept the stops below the lows.
Feb 23, 2024, 20:00: price wicked to 50 521 and closed back above the lows. The stops became sells: a big player bought them with no slippage.
level50 625sweep low50 521deeper by$104BTC· 4h · Feb 19–24, 2024real chart · Binance lowssweepStep 3 · Yesterday
Yesterday's high and low work as magnets too.
BTC 1h, Aug 11, 2024: at 09:00, price took out yesterday's high by $387 and closed back below it. By 12:00, it ran yesterday's whole range.
Three examples where price ran through all of yesterday's range after the sweep. Picked for the lesson — it doesn't always play out this way.
BTC· 1h · Aug 10–11, 2024real chart · Binance yesterdaysweepmoveETH 1h, yesterday's low
ETH· 1h · Apr 21–22, 2025real chart · Binance yesterdaysweepmoveSOL 1h, yesterday's low
SOL· 1h · Feb 4–5, 2024real chart · Binance yesterdaysweepmoveStep 4 · Not a signal
After a sweep, price can go anywhere.
SOL 15m, Sep 10, 2024: price swept the lows and closed back above. A candle later, it went lower still, to 132.84: there was no reversal.
A stop sweep isn't a signal yet: direction is confirmed by a structure break, that's the “Structure” module.
SOL· 15m · Sep 9–10, 2024real chart · Binance lowssweepStep 5 · Find it yourself
Where do the buyers' stops sit?
BTC 4h, before the sweep. Tap the level where they sit.
Practice on the chart
This is a Find it yourself task: tap a candle or a level, and the lesson tells you right away if you got it.
Create an accountThis step unlocks after sign-up. Your progress is saved.BTC· 4h · Feb 16–23, 2024real chart · Binance Step 6 · Recap
Stops sit behind levels, and sweeping them still isn't a signal.
1equal lows2stops3sweep4waiting for a breakrecapStops sit below equal lows and beyond yesterday's high. After they're swept, wait for a structure break.
There's no rule for your Pact here: what to do after a sweep is decided by a structure break — the next module.
Lessons in this module
Take the lesson with practice
In the app, the lesson checks you on the chart, adds the rule to your Pact, and saves your progress.
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