The Judas Swing

What is the Judas Goat?

A Judas Goat is a trained goat used at a slaughterhouse and, in general, animal herding.

The Judas Goat is specially trained to associate with sheep or cattle, not to co-exist but designed to destroy by leading those following it to a special destination.

In stockyards, a Judas Goat will lead sheep to slaughter while its own life is spared.

What is the Judas Swing?

A Judas Swing is an "engineered" price swing meant to lead reactionary traders in the wrong direction o The Judas Swing typically is a false rally higher that appears initially to emotional traders as the next big run in price and vice versa.

Traders that follow this Judas Swing in the market find themselves trapped on the wrong side of the market and ultimately pay the price.

When does Judas Swing typically form?

At key support/resistance o Previous high or low

Counter swing from optimal trade entry

Raid the previous week's high/low o Raid the previous session's high/low

If you are trading London, look for the Asian stops to be raided.

If you are trading New York, look for London stops to be raided

If you are trading Asian, look for New York stops to be raided.

Time of the Day when Judas Swing typically form

10:00 GMT - this Judas will form setup New York session OTE

15:00 GMT – this Judas Swing will setup London Close trade

18:00 GMT – this one is not important as we don't trade more than 18:00 GMT

You can use the timings to get in sync, or if you missed the London trade, you can trade New York or London Close