$BEAT After the horse, let's have a simple chat

On the 4-hour level, there is a continuous bullish candle. Sometimes it will suddenly drop and then form a doji with a long lower shadow. During the subsequent upward movement, it may suddenly retest this position. Such movements often occur when a major upward trend accelerates.

Understanding and familiarizing yourself with these positions in advance can prevent you from being caught off guard by a sudden drop when opening a position. The purpose of the major player doing this is quite simple; there will definitely be some profit-taking during a continuous rise. They use this method to first suppress the bullish positions of trend-following buyers, washing out positions, while also allowing themselves to accumulate.

From the 4-hour candlestick chart, there is clearly a very long lower shadow. However, this long lower shadow can cause trend-followers to be liquidated, and it can also affect those who are holding long positions. This one action can lead some large funds to close their positions, reducing selling pressure for the subsequent rally.