$JTO This drop was pretty decisive: in just 15 minutes it fell 1.1%, and volume surged to more than 4x. The buy order ratio is only 0.71—everything is being pushed by sell orders. OI is also contracting: both the 15-minute and 1-hour periods are below -1%. The longs are clearly cutting losses and reducing positions, not looking like they’re adding to bet on a rebound. The order book has already smashed through the low-price area of the last nearly 20 five-minute candlesticks—this is essentially a confirmation of a range breakdown.
Right now it’s a textbook deleveraging market: abnormal volume + a negative value in active trade imbalance + OI contraction. In terms of timing, we haven’t seen any bargain-hunting capital step in to catch the falling orders yet. If, over the next half hour, there isn’t even a decent rebound, then this move may be the main players clearing the field. Don’t rush to catch a falling knife.
Right now it’s a textbook deleveraging market: abnormal volume + a negative value in active trade imbalance + OI contraction. In terms of timing, we haven’t seen any bargain-hunting capital step in to catch the falling orders yet. If, over the next half hour, there isn’t even a decent rebound, then this move may be the main players clearing the field. Don’t rush to catch a falling knife.