Indicator Notes | $Q | 1-hour open interest +61.16% | Price -2.5%
First, a definition: open interest is not an inflow of funds. An increase in open interest only means that more contract positions are open; it doesn't tell you where the funds came from or which direction they're betting on.
A common interpretation: High open interest is not inherently bullish or bearish. It simply means more positions are being taken and the two sides disagree more.
Extreme readings usually come with more violent volatility. At times like these, it's better to reduce leverage rather than double down.
First, a definition: open interest is not an inflow of funds. An increase in open interest only means that more contract positions are open; it doesn't tell you where the funds came from or which direction they're betting on.
A common interpretation: High open interest is not inherently bullish or bearish. It simply means more positions are being taken and the two sides disagree more.
Extreme readings usually come with more violent volatility. At times like these, it's better to reduce leverage rather than double down.