$VVV ｜Breaking Through the 25 Level
Before looking at fund flows, first understand round-number levels.
A large number of stop-loss orders tend to cluster around these levels. If the price breaks through, those stops can be triggered all at once, often causing volatility to spike suddenly.
It’s common for the price to break through a level and then fall back, so many people wait for the candle to close and hold above it rather than chasing the price as soon as it crosses.
Keep extra margin for futures positions, so a single wick doesn’t liquidate your position.
Before looking at fund flows, first understand round-number levels.
A large number of stop-loss orders tend to cluster around these levels. If the price breaks through, those stops can be triggered all at once, often causing volatility to spike suddenly.
It’s common for the price to break through a level and then fall back, so many people wait for the candle to close and hold above it rather than chasing the price as soon as it crosses.
Keep extra margin for futures positions, so a single wick doesn’t liquidate your position.
