$TAC ｜1-hour open interest +12.04%｜Price +9.75%
Before discussing capital flows, first understand open interest.
Open interest and trading volume are two different metrics: trading volume shows how much was traded during a given period, while open interest shows how many contracts are still open at the moment.
Rising prices alongside rising open interest are often seen as a sign that new long positions are actively entering the market; falling prices alongside rising open interest are often seen as a sign that new short positions are actively entering.
Don’t change your original plan based on a single indicator, and certainly don’t use borrowed money to test a hypothesis.
These views are for discussion only. You are responsible for your own gains and losses.
Before discussing capital flows, first understand open interest.
Open interest and trading volume are two different metrics: trading volume shows how much was traded during a given period, while open interest shows how many contracts are still open at the moment.
Rising prices alongside rising open interest are often seen as a sign that new long positions are actively entering the market; falling prices alongside rising open interest are often seen as a sign that new short positions are actively entering.
Don’t change your original plan based on a single indicator, and certainly don’t use borrowed money to test a hypothesis.
These views are for discussion only. You are responsible for your own gains and losses.
