Definition
A bull trap is a failed breakout: price pokes above a resistance level, draws in buyers, then drops back below it. The buyers who entered near the top are then holding losses.
Academy › Glossary › Technical Analysis
Bull trap
A rise above resistance that quickly reverses, catching buyers on the wrong side.
Learn it in context with PDB Academy
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