$NEAR This 15m move up was a bit abrupt, with volume jumping to 4.23x. Price broke above the highs of nearly the last 20 5m candles, and aggressive buying was clearly tilted to the upside.
What’s interesting, though, is that 15m OI is still negative, while the notional change is positive. Price up, open interest down—that’s the classic smell of short covering, not a push driven by new longs entering. 1h OI edged up, suggesting some traders were covering during the rally while others were watching from the sidelines.
24h trading volume is over 1.4 billion, and order-book depth has confirmed the move isn’t just a fake pump. Whether to chase this kind of setup is up to you. I’d rather wait for a pullback and confirmation. If this move was driven purely by short covering, it could easily give back its gains unless new longs step in to keep it going.
I’ll leave it on the watchlist for now.
What’s interesting, though, is that 15m OI is still negative, while the notional change is positive. Price up, open interest down—that’s the classic smell of short covering, not a push driven by new longs entering. 1h OI edged up, suggesting some traders were covering during the rally while others were watching from the sidelines.
24h trading volume is over 1.4 billion, and order-book depth has confirmed the move isn’t just a fake pump. Whether to chase this kind of setup is up to you. I’d rather wait for a pullback and confirmation. If this move was driven purely by short covering, it could easily give back its gains unless new longs step in to keep it going.
I’ll leave it on the watchlist for now.