INJ just rallied 13 points, almost hitting 6.15. I felt something was off while watching the charts during the day.
The Bollinger Bands on the 4-hour chart have been tightening for a while. Last night, the mid-band was hovering around 5.45, and the price was grinding between the mid-band and the upper band. This morning's bullish candle broke through the upper band, but the volume didn't spike—this raises some red flags. While the Bollinger Bands are indeed opening up and the price is outside the bands, the OBV indicator is still crawling at a low level, indicating that this spike is more of a short squeeze rather than new money entering the market.
My take is that diving in now to chase the highs isn't a smart move. At this point outside the upper band, we could either see a continuation rally that breaks out the upper band or a retracement that traps buyers. The last time INJ dropped from 5.8 to 4.9, we saw a similar situation in the Bollinger Bands, and it ended up dropping for three days.
I have my base position and I'm holding firm, but I won't be adding. I'm wary of those scenarios where you jump in, see a spike, and then it reverses on you. If you're looking to play, wait for a dip back to around 5.8 with low volume before considering it; at least that's a better spot for setting a stop loss.
On the other hand, SOL has been a bit steadier, grinding around 82 for a few days. The MACD fast line just crossed above the zero line but is still on low volume. No rush here.
#Binance #现货 #行情 $INJ $APT $PEPE
The Bollinger Bands on the 4-hour chart have been tightening for a while. Last night, the mid-band was hovering around 5.45, and the price was grinding between the mid-band and the upper band. This morning's bullish candle broke through the upper band, but the volume didn't spike—this raises some red flags. While the Bollinger Bands are indeed opening up and the price is outside the bands, the OBV indicator is still crawling at a low level, indicating that this spike is more of a short squeeze rather than new money entering the market.
My take is that diving in now to chase the highs isn't a smart move. At this point outside the upper band, we could either see a continuation rally that breaks out the upper band or a retracement that traps buyers. The last time INJ dropped from 5.8 to 4.9, we saw a similar situation in the Bollinger Bands, and it ended up dropping for three days.
I have my base position and I'm holding firm, but I won't be adding. I'm wary of those scenarios where you jump in, see a spike, and then it reverses on you. If you're looking to play, wait for a dip back to around 5.8 with low volume before considering it; at least that's a better spot for setting a stop loss.
On the other hand, SOL has been a bit steadier, grinding around 82 for a few days. The MACD fast line just crossed above the zero line but is still on low volume. No rush here.
#Binance #现货 #行情 $INJ $APT $PEPE