FOMO
The fear of missing the move: you get in right at the end because "it's already going without me".
FOMO — what it is?
FOMO is the fear of missing the move. It shows up when price leaves without you and a feeling appears inside that you have to get in right now.
The mechanics of such an entry are always the same: the worst price, a wide stop, no confirmation. In other words, the least favourable trade possible.
Those are exactly the entries a large participant needs. The impulse that triggers FOMO often turns out to be the end of the move, not its beginning.
FOMO — how it is built?
The rule is simple: if price left your marked zone without you, there is no trade. What you wait for is not the move but the return into the zone. A missed move costs nothing; a FOMO entry costs money.
FOMO — common mistakes
Chasing a move that has already started.
Entering at market with no markup so as not to "miss out".
Treating a missed trade as a loss.
Shrinking the stop to justify a late entry.
Related to
Glossary
- impulse
- a fast directional move with large candles.