News-Fueled Liquidity Grabs: How Institutions Trap Retail High-impact news like NFP, CPI, and FOMC don’t just move price — they trap retail traders. In 2025, Smart Money uses these events to engineer liquidity grabs. Here’s what usually happens: 1. Price consolidates before news → a false sense of calm. 2. News releases — price violently sweeps highs or lows (liquidity zones). 3. Immediately after the sweep, price reverses hard, leaving retail traders wrecked. This is engineered volatility. Smart traders don’t chase the spike. They wait. If news sends price through an old high, and it wicks with imbalance + CHoCH, it’s a reversal setup. News = manipulation tool. Institutions use it to fill big orders. The key isn’t to avoid news — it’s to understand what it creates. Mark your liquidity zones. Don’t flinch on spikes. React with structure. That’s how you profit from chaos while others panic.