The coin price shoots up in a big green candle, everyone in the group is yelling “Let’s go!” and your hand slips as you chase in—only to end up
at the top. This plays out every day.
Take a close look at that big green candle that made your heart race: it’s what people who are already fully invested hope you’ll chase in and buy from them on the way out.
... Chasing after a sharp, high-volume surge is essentially providing liquidity to those who were already holding.
A simple but effective trick: when you feel like chasing, force yourself to wait for three candlesticks. If the pullback comes on lower volume and stabilizes,
you’ll get a better entry; if it drops straight back down, congratulations—you’ve saved yourself a costly lesson. The market will always
give you a second chance, but it won’t give you your principal back a second time.
What do you think? Share your experience in the comments.