$DOOD ｜1-hour open interest +5.26%｜Price +6.69%
What does open interest actually tell us? Open interest is not a measure of fund flows: an increase only means there are more positions in the contracts. It can't tell you where the money came from, or whether the positions are bullish or bearish.
In the short term, rapid changes in open interest mean that someone is opening or closing positions in large volumes, and the price swings that follow often get larger too.
With leveraged positions, first work out whether you can withstand the worst-case scenario. Then look at what the indicators are saying.
#DOOD
What does open interest actually tell us? Open interest is not a measure of fund flows: an increase only means there are more positions in the contracts. It can't tell you where the money came from, or whether the positions are bullish or bearish.
In the short term, rapid changes in open interest mean that someone is opening or closing positions in large volumes, and the price swings that follow often get larger too.
With leveraged positions, first work out whether you can withstand the worst-case scenario. Then look at what the indicators are saying.
#DOOD