Ever wonder why some price jumps are "traps" while others are real? It all comes down to Volume Confirmation.
Price action alone can be deceiving, but volume tells us if the "big money" is actually behind a move. Take $ERA as a live example: it's currently up 4.4% at $0.0684, backed by a solid $51M in 24h volume.
When price rises on high volume, it confirms that buyers are aggressively absorbing the sell orders, suggesting the trend has strength. If the price rose 4% on tiny volume, it would be a warning sign that the move is fragile and could collapse quickly. Always check the volume bars before jumping into a breakout!
Do you prioritize volume or technical indicators when confirming a trade?
$ERA #TradingTips #CryptoEducation
We share the actual results of every algo signal we send; check our bio for the full live track record and free preview channel.
Price action alone can be deceiving, but volume tells us if the "big money" is actually behind a move. Take $ERA as a live example: it's currently up 4.4% at $0.0684, backed by a solid $51M in 24h volume.
When price rises on high volume, it confirms that buyers are aggressively absorbing the sell orders, suggesting the trend has strength. If the price rose 4% on tiny volume, it would be a warning sign that the move is fragile and could collapse quickly. Always check the volume bars before jumping into a breakout!
Do you prioritize volume or technical indicators when confirming a trade?
$ERA #TradingTips #CryptoEducation
We share the actual results of every algo signal we send; check our bio for the full live track record and free preview channel.