🐋 $APR breaks through the 0.045 level.
A lot of orders tend to cluster around key levels, so first, let’s understand how they can affect price.
A large number of stop-loss orders are often placed near these levels. If the price breaks through, those stops can be triggered all at once, often causing volatility to spike.
It’s common for the price to break through a level and then fall back below it, so many traders prefer to wait for a candle to close and hold above the level rather than chase the initial breakout.
Any indicator only summarizes past price action, and the price can move in the opposite direction at any time.
A lot of orders tend to cluster around key levels, so first, let’s understand how they can affect price.
A large number of stop-loss orders are often placed near these levels. If the price breaks through, those stops can be triggered all at once, often causing volatility to spike.
It’s common for the price to break through a level and then fall back below it, so many traders prefer to wait for a candle to close and hold above the level rather than chase the initial breakout.
Any indicator only summarizes past price action, and the price can move in the opposite direction at any time.