Technical Note｜$JCT ｜Breaking through the 0.004 level
First, a definition: previous highs and lows are common reference price levels. The experience of being unable to rise or fall past a certain level last time can influence decisions when the price reaches it again.
Next, how to interpret them: many people use these levels as risk-management reference points. Which side of the level you hold a position on, and where you set your stop-loss, are more practical considerations than predicting the direction.
Don’t chase trades during the fastest-moving minutes. Wait for the candlestick to close before taking another look.
#JCT
First, a definition: previous highs and lows are common reference price levels. The experience of being unable to rise or fall past a certain level last time can influence decisions when the price reaches it again.
Next, how to interpret them: many people use these levels as risk-management reference points. Which side of the level you hold a position on, and where you set your stop-loss, are more practical considerations than predicting the direction.
Don’t chase trades during the fastest-moving minutes. Wait for the candlestick to close before taking another look.
#JCT
