Here's what happened when a $MOVR setup expecting only a modest bounce instead nearly doubled in a day.
The real pain for most traders is getting the direction right but the magnitude completely wrong, leaving you either chasing a pump you didn't want or sitting on a short that's already underwater.
Yesterday's analysis looked for a bit more upside then a drop. $MOVR ignored that and ripped almost 100 percent from those levels. These thinner names rarely respect tidy technicals.
That said, the case for gradually building a short position with an averaging strategy hasn't disappeared. You see similar overextensions on $GLMR whenever $KSM flows heat up, and they do eventually mean revert.
The warning is simple. Keep averaging against a strong move and one more unexpected leg can turn a manageable position into something that hurts. Coins like this don't care about your cost basis.
Anyone else treating this stretch as a fade opportunity or waiting for clearer signs of exhaustion?
#Moonriver #AltcoinRisks #Trading
The real pain for most traders is getting the direction right but the magnitude completely wrong, leaving you either chasing a pump you didn't want or sitting on a short that's already underwater.
Yesterday's analysis looked for a bit more upside then a drop. $MOVR ignored that and ripped almost 100 percent from those levels. These thinner names rarely respect tidy technicals.
That said, the case for gradually building a short position with an averaging strategy hasn't disappeared. You see similar overextensions on $GLMR whenever $KSM flows heat up, and they do eventually mean revert.
The warning is simple. Keep averaging against a strong move and one more unexpected leg can turn a manageable position into something that hurts. Coins like this don't care about your cost basis.
Anyone else treating this stretch as a fade opportunity or waiting for clearer signs of exhaustion?
#Moonriver #AltcoinRisks #Trading
