Technical Note｜$JCT ｜Falling below the 0.0035 level
First, a definition: Whole-number levels are considered important mainly because traders like to place orders and take-profit targets around them. Orders often cluster in these areas, which are also known as psychological levels.
How to read it: It’s common for the price to break through a level and then fall back below it. That’s why many people wait for the candle to close and hold above the level before taking the move seriously, rather than jumping in the moment it breaks through.
Understanding an indicator is meant to keep the numbers from spooking you, not to help you predict tops and bottoms.
First, a definition: Whole-number levels are considered important mainly because traders like to place orders and take-profit targets around them. Orders often cluster in these areas, which are also known as psychological levels.
How to read it: It’s common for the price to break through a level and then fall back below it. That’s why many people wait for the candle to close and hold above the level before taking the move seriously, rather than jumping in the moment it breaks through.
Understanding an indicator is meant to keep the numbers from spooking you, not to help you predict tops and bottoms.
