Looking only at candlestick charts can make you miss a lot of information. $DOOD 15-minute open interest: +6.97%; price: -3.54%. Look at them together:
Open interest rises, price falls: new short positions are entering.
If open interest keeps piling up, watch whether the funding rate is rising too. Do you trade derivatives often?
Open interest rises, price falls: new short positions are entering.
If open interest keeps piling up, watch whether the funding rate is rising too. Do you trade derivatives often?