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What is the core of swing trade #美国终止政府关闭 ? Understanding market sentiment and price divergence.



Yesterday, ETH surged to around 3550, and market sentiment overwhelmingly leaned towards bullish at 3600, but I noticed that a top divergence pattern had appeared. I decisively opened a short position and took profit near 3420, capturing 130 points in this move. Today, the market suddenly plummeted below 3400, and the comments section was filled with wails, as many people started to cut losses. At this moment, I calmly observed, and the oversold signal at 3350 was obvious, so I immediately reversed and went long, targeting 3460, and successfully secured this rebound.

To be honest, swing trading isn't about chasing after the candlesticks. When others are chasing the highs, you need to be alert to the top; when others are panic selling, you need to look for the bottom. Yesterday's surge in volume but stagnant prices clearly indicated someone was unloading. Today's sharp drop on reduced volume, on the contrary, suggests that the selling pressure has almost been released, and the rebound window is right there. The combination of volume and price along with the emotional cycle, when these two dimensions resonate, can generally help to anticipate turning points.

Do not be overly short or overly long. Go short when the market rises and go long when the market falls; being able to profit from both directions is true skill. The essence of swing trading is flexibility; understanding the market rhythm is far more important than sticking to a direction. Whether your entry points are accurate is one aspect, but the more critical factor is whether you can grasp market sentiment accurately enough.

When the market fluctuates back and forth, both rises and falls are actually opportunities. $ETH $BTC
ETH-6.5%
BTC-2.89%
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ColdWalletGuardianvip
· 13h ago
You are right, the key is to think in reverse. When others are experiencing FOMO, you should stay clear-headed; this is the secret to making money.
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BTCRetirementFundvip
· 13h ago
You're right, taking the opposite position is the way to go, don't be hijacked by emotions.
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GasWastervip
· 13h ago
Really, I started to be cautious as soon as this thing called divergence appeared; too many people are driven by emotions to push it higher.
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CrossChainBreathervip
· 13h ago
The divergence is really incredible; while others are still shouting 3600, I've already shorted it. That's the difference.
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MerkleTreeHuggervip
· 13h ago
Take the opposite position and make a profit again, this is the true essence of swing trading. Suckers are always the ones who chase the price and Cut Loss.
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APY追逐者vip
· 13h ago
You're not wrong, that divergence was indeed fierce. The key is to think in reverse and not let emotions take over.
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MidnightTradervip
· 13h ago
You're right, I also saw that peak divergence yesterday, just didn't dare to take action, seeing you capture 130 points makes me a bit regretful. It's not interesting just to chase the price and follow the trend; the key is to understand the market psychology, which you hit the nail on the head with. There are many people who look at Candlesticks every day, and in the end, they all lose money, while the calm ones make the most comfortable profits. This volume-price combination is indeed reliable; I'll try this approach next time. Only by operating in both directions can one survive longer; you're absolutely right. I've seen too many people who are either heavily long or heavily short. When they Cut Loss, it's just the right opportunity for us to enter a position. This Rebound you captured at the bottom is really amazing.
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