Pumps and dumps are market situations that can give especially increased profits. However, in order to get the most out of such situations in the market, it is necessary to first study the main strategies for bounces, breakouts, false breakouts, catching a knife and volatility trading. Each of these strategies will be needed for high-quality testing of pump situations.
The section presents the global structure of market behavior before, at the time of the pump and after, the causes and factors leading to the formation of such formations, methods for calculating and predicting the development of such formations.
For each execution option, the reasons for making a decision to open a trade, methods and entry points into a position, bases and exit points from a stop-loss position, methods and points for determining exit points from a take-profit position are given.