Definition
A bear trap is a failed breakdown: price dips under a support level, tempting sellers and shorts, then rallies back above it. The forced buying from trapped shorts can add to the move up.
Academy › Glossary › Technical Analysis
A drop below support that quickly reverses, catching sellers and short sellers on the wrong side.
A bear trap is a failed breakdown: price dips under a support level, tempting sellers and shorts, then rallies back above it. The forced buying from trapped shorts can add to the move up.
Guides, short videos and a plain-English glossary in one place, with tools to try each idea on real market data. The basics are free.
Create a free accountOpen PDB Academy