🧭 Data: $BR ｜15-minute open interest +5.27%｜Price +25.02%
· Explanation: When both buyers and sellers open new positions, open interest rises; when both close positions, it falls; when one side opens a position and the other closes one, open interest remains unchanged.
· Common interpretation: A sharp change in open interest over a short period means that someone is opening or closing positions in large quantities, and volatility is often likely to increase afterward.
Extreme readings usually come with more intense volatility. At times like these, it’s wiser to reduce leverage rather than make a big bet.
Personal notes only; not a recommendation to buy or sell.
· Explanation: When both buyers and sellers open new positions, open interest rises; when both close positions, it falls; when one side opens a position and the other closes one, open interest remains unchanged.
· Common interpretation: A sharp change in open interest over a short period means that someone is opening or closing positions in large quantities, and volatility is often likely to increase afterward.
Extreme readings usually come with more intense volatility. At times like these, it’s wiser to reduce leverage rather than make a big bet.
Personal notes only; not a recommendation to buy or sell.