Experiment - page 253
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In what country have you seen a price below zero?
Only in the US. Anything is possible there))
Only in the US. Anything is possible there))
And we all remember how we were buying and buying, but the pound kept falling and falling.
You're forgetting that "market-based" trading is done through a maker.
Everyone (majority, buyers) bought, the maker sold to them, immediately bought back from the sellers (the minority) and immediately put a better limit than the previous one. And in both directions, narrowing the spread. And so dancing - towards the maximum volume (the difference between buyers and sellers has to be somehow compensated, not all on their own). And the maximum volume is at the buyers (i.e., at the bottom).
Part of the action is the above algorithm "The Village Maker". After completing the trade you immediately announce with a limit "I liked it, I want the same but better".
;)
By the way, it will not work in the foreign exchange market. It was a particular case of oil when there was nowhere to dump it. There is no need to focus on that case.
You're forgetting that "market-based" trading is done through a maker.
Everyone (majority, buyers) bought, the maker sold to them, immediately bought back from the sellers (the minority) and immediately put a better limit than the previous one. And in both directions, narrowing the spread. And so dancing - towards the maximum volume (the difference between buyers and sellers has to be somehow compensated, not all on their own). And the maximum volume is at the buyers (i.e., at the bottom).
Part of the action is the above algorithm "The Village Maker". After completing the trade you immediately announce with a limit "I liked it, I want the same but better".
Don't bullshit me.
The volumes of the 6th.
movement 7.
When talking about the effect of the number of buyers and sellers on the price, you should also keep in mind that not all of them influence the price equally. Both the volumes of the position and the price at which it is opened matter. If the prices of the positions of the bulls that are stuck in a minus position are far from the current price, then they do not have a real influence on the price, even if they are 100 times more than bears. Only positions that are in the current trading range have a real impact on the price. So it makes no sense to talk about the effect of the ratio of buyers to sellers on the price without taking into account their actual distribution on the price scale.
Of course, it's the banks, they rule. The SOT reports, commendably, are also a topic that can be studied for general development, but no more than that.
Well, yes. It's just that when you write that the price falls when there is a surplus of buyers, you have to make it clear that you are talking about a surplus of unqualified buyers and not in general. Otherwise it is absurd.
SOTs are of course of little use with such a sparse publication, but there is a much more representative picture there. You can see that it has nothing to do with the sentiment of retail traders, and there was no 80% overshoot there.
Don't bullshit me.
The volumes of the 6th.
movement in the 7th.
These pictures are from kitchen dealing rooms, with a couple of hundred $300 mum traders accounts. It's not a measure of volume.
When talking about the effect of the number of buyers and sellers on the price, you should also keep in mind that not all of them have the same effect on the price. Both the volume of the position and the price at which it is opened matter. If the prices of the positions of the bulls that are stuck in a minus position are far from the current price, then they do not have a real influence on the price, even if they are 100 times more than bears. Only positions that are in the current trading range have a real impact on the price. So it makes no sense to talk about the effect of the ratio of buyers to sellers on the price without taking into account their actual distribution on the price scale.
When talking about the effect of the number of buyers and sellers on the price, you should also keep in mind that not all of them have the same effect on the price. Both the volume of the position and the price at which it is opened matter. If the prices of the positions of the bulls that are stuck in a minus position are far from the current price, then they do not have a real influence on the price, even if they are 100 times more than bears. Only positions that are in the current trading range have a real impact on the price. So it makes no sense to talk about the influence of the ratio of the number of buyers and sellers on the price without taking into account their actual distribution on the price scale.
Ooh. This is a correct debunking of the myth about the number of buyers and sellers.
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