Gunning Stops and Running Stops are price movements in ICT trading that trigger Stop Loss Orders.
The primary goal of both concepts is to Liquidity sweep, but they differ in execution and intent.
What is Gunning Stops?
Gunning Stops refer to the deliberate actions of large institutions to push the price toward retail traders' stop-loss levels. By activating these orders, liquidity is collected, leading to increased market volatility.
A 30-minute XAG/USD chart illustrates how Gunning Stops function. As retail traders' stop losses are triggered, a wave of forced selling occurs, often causing a sharp and strong price movement in the same direction.
Characteristics of Gunning Stops
Gunning Stops have two key characteristics. First, they are intentional manipulations by large institutions, such as banks or smart money, using significant trade volumes to push prices toward support or resistance levels.
Second, their primary goal is Stop Hunting—collecting liquidity and preparing for larger price moves
What is Running Stops?
Running Stops occur when the price naturally or without prior manipulation reaches traders' stop-loss levels.
Unlike Gunning Stops, this movement is not intentional and is usually caused by normal market behavior, important news releases, or increased trading volume.
When the price reaches key levels, stop losses are triggered, intensifying price movement in the same direction.
A 30-minute EUR/USD chart demonstrates how Running Stops function. As the price reaches retail traders' stop-loss levels, a wave of selling occurs, accelerating the price movement in the same direction.
Characteristics of Running Stops
Running Stops typically occur in response to major economic news or unexpected events that push prices to key levels.Their impact is often short-term unless the movement aligns with a larger trend shift.
Unlike Gunning Stops, which are planned by institutions, Running Stops are results of collective trader behavior, where large clusters of stop losses accumulate at specific levels.
Conclusion
Gunning Stops are intentional manipulations executed by financial institutions to hunt stop-loss orders and collect liquidity, whereas Running Stops occur naturally due to normal market behavior or significant news events.
Although both phenomena lead to intensified price movement, they differ in cause and execution. Understanding these concepts helps traders identify potential trading opportunities and avoid being trapped in liquidity grabs.
