🗂️ Data: $WLD ｜15-minute open interest +3.37%｜price +4.29%
· What it means: When both buyers and sellers open new positions, open interest rises; when both sides close positions, it falls; when one side opens a position and the other closes one, open interest stays the same.
· How to read it: If the price barely moves while open interest rises noticeably, it means both bulls and bears are adding to their positions. This often raises the likelihood of a larger move later, but the direction is uncertain.
For leveraged positions, first work out whether you could handle the worst-case scenario, then consider what the signals are saying.
· What it means: When both buyers and sellers open new positions, open interest rises; when both sides close positions, it falls; when one side opens a position and the other closes one, open interest stays the same.
· How to read it: If the price barely moves while open interest rises noticeably, it means both bulls and bears are adding to their positions. This often raises the likelihood of a larger move later, but the direction is uncertain.
For leveraged positions, first work out whether you could handle the worst-case scenario, then consider what the signals are saying.