Momentum Trading Trap: Why Chasing Price Moves Can Wreck Your Edge
Momentum feels great when it works—but the odds are stacked against you.
So… yesterday was fun, right?! 
Up, down, up, down.
The Russell had a monster of a day…
Now, I know it’s not a fan-favourite compared to say Dow or Nas.
But lately? The ranges have been wild.
(Side note: it’s still one of the most heavily shorted index futures out there, worth keeping an eye on 
)
Anyway, yesterday was a textbook reminder to talk about something I see all the time…
MOMENTUM JUNKIES
In theory, momentum’s a dream.
You jump on Take no heat Get paid quickly
It ticks every psychological box we want as traders.
But let’s be honest:
Those “easy” momentum days? Rare.
Even on big-range days, there’s back-and-forth, traps, noise, whippy price action.
And if you’ve ever jumped on a candle hoping for continuation…
Only to get slapped by a reversal minutes later…
You know exactly what I mean. 
Still, the hit feels good when it works.
So you go back for more.
That’s why I call it a junkie mindset, chasing the same high, even when it rarely pays and almost certainly has no long-term edge.
Now don’t get me wrong…
We absolutely want to use momentum to our advantage.
But the best trades?
- You’re already in before the big move kicks off.
- You spotted the ignition.
- You saw the trap.
- You understood the structure.
While others chase strength,
You were already positioned.
Flags. Fakeouts. Reversals.
Not guesses, but structure buried inside the noise.
Now you’re in control.
You’re not chasing momentum… you’re profiting from those who do.