Variants and Entry Archetypes
This section describes how Key Level Rejection most commonly appears in live markets. These are not separate strategies. They are recurring expressions of the same intent. Each archetype answers one question only:
Has an attempt failed, and is inventory now vulnerable?
1. Rejection After Break Attempt
Price pushes through a key level with visible effort, but acceptance does not form. Participation appears briefly, then stalls. Price snaps back through the level and fails to hold beyond it.
Look for:
- Aggressive effort at the level with limited progress
- Immediate loss of participation after the push
- Snap back or rejection through the level
Reversal is driven by trapped breakout participants unwinding.
2. Failed Retest of a Key Level
Price breaks a level, then returns to test it from the opposite side. The retest fails to hold. Acceptance does not form and price rotates away from the level.
Look for:
- Clean test of a known level
- Hesitation or stall on the retest
- Failure to attract follow-through
The retest exposes weak positioning and confirms rejection.
3. Stop Run and Rejection
Price accelerates through a level to trigger stops or late entries, then immediately stalls. Progress halts and price reverses sharply.
Look for:
- Sudden acceleration beyond a clear level
- High effort with minimal extension
- Rapid reversal away from the extreme
The stop run becomes fuel for reversal once acceptance fails.
4. Exhaustion at a Key Level
Price grinds into a level after an extended move. Participation increases, but progress slows. The attempt loses momentum and reverses.
Look for:
- Extended directional move into the level
- Increasing effort with diminishing progress
- Failure to hold beyond the level
Late participants are vulnerable when exhaustion replaces continuation.
How to Use These Archetypes
These archetypes exist to support recognition, not decision-making. The strategy remains the same across all expressions.
If failure is visible, reversal is favored.
If acceptance forms, the strategy disengages.
Execution rules live in the next section.
Summary
Key Level Rejection expresses itself through failed attempts. Whether the failure occurs after a breakout, a retest, a stop run, or exhaustion, the defining feature remains the same.
When effort fails and acceptance does not follow, reversal becomes active.
When acceptance forms, the trade disappears.
Execution Rules are described in Stop 5.7