Do not assume that traders use the same indicator, there are many indicators even hundreds of indicators and some indicators combined with other indicators will not be the same. there will be a lot of technical analysis development, looking at the strategies used and also combined with fundamental analysis.
Market behavior remains on the corridor, up and down and a lot of FUD and FOMO will affect the market.
If some indicators do not work well, you need to study them again and of course other indicators you should also understand. Trading Trends are not only on indicators, but on market conditions, the state of the world economy and many other factors that can influence them.
Topic: Do you agree market behavior has changed? - page 6. (Read 762 times)
Not all traders work the same way, that's the reason why all traders aren't profitable always. Every trader has different strategies to make money. And not many traders use tools for trading as well. So I don't think market behavior changed. A lot of things related to the market, a lot of psychology works on the cryptocurrency market. So nothing changing except using the latest tools. Some traders just see the candles like me those don't use any tools. However, I can't say market behavior changed just for a few tools. There will be always losses and gainer.
Dear MK
As you mentioned short squeeze is an unusual fact , I agree with you market behaving unusual! What do you suggest for such an unusual market!
As you mentioned short squeeze is an unusual fact , I agree with you market behaving unusual! What do you suggest for such an unusual market!
Short squeezes are an "unusual" market behavior but it doesn't automatically mean that it only happens in "unusual" markets. Short squeezes also occur on more sort of "established" markets like the U.S. stock markets.
An example, GameStop(GME): https://en.wikipedia.org/wiki/GameStop_short_squeeze
This is still difficult to identify and can't be guaranteed 100% as most of the traders use multiple indicators or tools.
Another thing to consider is why we have stop-losses, which will be our savior if ever our technical analysis will invalidate.
Also, the fundamental part, is that such news or natural events can cause some market behavior, especially in just a short period of time.
Another thing to consider is why we have stop-losses, which will be our savior if ever our technical analysis will invalidate.
Also, the fundamental part, is that such news or natural events can cause some market behavior, especially in just a short period of time.
There are just so much indicators that we really can't make a conclusion entirely. But in general — if a certain indicator gets too crowded and traders end up trying to frontrun each other both(or either) at the buy/sell side, then the sort of "expected" market movement gets a lot less dramatic than anticipated, or it could move totally against them. A perfect example for the latter being a short squeeze[1].
[1] https://www.investopedia.com/terms/s/shortsqueeze.asp
[1] https://www.investopedia.com/terms/s/shortsqueeze.asp
Dear MK
As you mentioned short squeeze is an unusual fact , I agree with you market behaving unusual! What do you suggest for such an unusual market!
Thank you So Much for your kind attention and reply! I am talking about trading, for example daily trading. I agree there are gamblers in the market as well that just buy and sell sentimentally , but if you monitor the market since November again you will see there is not any clear trend and technically most of the indicators do not work properly! Maybe it is a war signal and the market predicted that , but it is an event not a trend, right?
There are many tools and indicators all traders use to predict the market and buy and sell assets! When most people use the same tools , there is no more competitive advantage between them and everyone one will act the same! They receive the same signal and same prediction! Thus there is no contrast in the market technically , we believe the market is not running technically like before and we are expecting major changes , What do you Think?
Market behavior is the same as it always was. It goes up, down, sideways... Some people claim that it sometimes go backwards but I haven't experienced this so far. Maybe they are high on something I don't know.
This discussion is very old but if every was making the same trades, nobody would buy the other side of the trade. As you realize, there are always some people who stay on the opposite side of your position.
So no matter how advanced the new indicators are nowadays, the game is still unchanged. Up, down, sideways...
There are just so much indicators that we really can't make a conclusion entirely. But in general — if a certain indicator gets too crowded and traders end up trying to frontrun each other both(or either) at the buy/sell side, then the sort of "expected" market movement gets a lot less dramatic than anticipated, or it could move totally against them. A perfect example for the latter being a short squeeze[1].
[1] https://www.investopedia.com/terms/s/shortsqueeze.asp
[1] https://www.investopedia.com/terms/s/shortsqueeze.asp
There are many tools and indicators all traders use to predict the market and buy and sell assets! When most people use the same tools , there is no more competitive advantage between them and everyone one will act the same! They receive the same signal and same prediction! Thus there is no contrast in the market technically , we believe the market is not running technically like before and we are expecting major changes , What do you Think?
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