Be careful for stop losses fishing. (See 1m and 4h charts.)

If you look at the 4h Bitfinex chart, a dragonfly doji (possibly clearer on other exchanges) completed. The very next minute on the 1m chart, a large sell order with a long wick candle appears. This looks like some whale fished for stop losses immediately after a short-term buy signal.

This is moreover a moment of low volatility with the TTM squeeze red for several candles at 15m, so it's a decent bet there are people with trades ready to trigger close to either side hoping to catch a break up or down.

Moral of the story: be careful about putting your stop losses too close to the current price.

I'm an amateur at this and you should definitely not take what I say as financial advice. I'm always trying to learn more and would love any feedback.

acatwithcharts

My volatility-based indicators are available for sale at SharkCharts.live

Feel free to reach out to me with any questions; more information is available on the SharkCharts website and the SharkCharts discord discord.gg/YVpTeSK

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acatwithcharts

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