Round number bias
Risk & psychologyAlso called: Round numbers
The human tendency to place orders at round figures.
In plain terms
Why ₹500 and ₹1,000 attract clustered stops and limit orders, and why sitting a little away from them is worth doing.
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Glossary
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
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Stop clustering
Technical analysisThe tendency for stop-loss orders to accumulate at the same obvious levels.
In plain terms
Below swing lows, at round numbers, under moving averages — every book recommends the same place, so everyone uses it.