A quick note: $BAT 15-minute contract open interest increased by 4.84%; price rose 3.68% over the same period.
People often ask what open interest means. Here’s how I understand it.
An increase in open interest means new positions are being opened; a decrease means positions are being closed, whether voluntarily or through forced liquidation.
If the price barely moves while open interest increases significantly, it means both bulls and bears are adding to their positions. A bigger move is often more likely afterward, but the direction is uncertain.
All data describes past market activity. The price could certainly move in the opposite direction.
#BAT
This view may not be right. Please manage your own risks and profits/losses.
People often ask what open interest means. Here’s how I understand it.
An increase in open interest means new positions are being opened; a decrease means positions are being closed, whether voluntarily or through forced liquidation.
If the price barely moves while open interest increases significantly, it means both bulls and bears are adding to their positions. A bigger move is often more likely afterward, but the direction is uncertain.
All data describes past market activity. The price could certainly move in the opposite direction.
#BAT
This view may not be right. Please manage your own risks and profits/losses.