When an asset moves 6 sigma on a 15 minute candle ... (and also hits 6 sigma on the 1 hour, btw) ... that's often a good indication that it's a good area to Take Profits (TP).
And so it was, yet again, with this latest move bit bitcoin, to the upside.
Know your volatility. Understand Standard Deviation of Returns (which is volatility).
Use proper math indicators that show you things like the Expected Moves, and which even let you manually set one of the STDEVs. I like to keep it between 4 and 6.
very complicated ..pls make things easier to understand
stepstones
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@okokok19000, Price Action moved up 6 Standard Deviations of Returns (STDEV) on the 15 minute time frame, as shown on the Expected Moves indicator in the chart.
When that happens, the likelyhood is very high that there will be a reversal.
And if you look at what happened after ... price action did revert and head back down.
And if you look at what happened for the remainder of that day ... for the next 15 hours or so at this point ... price action mostly has been falling back down, with some nice little pumps in between (on the 1 min tf, anyway)
There's loads of great, convenient ways to learn how to use these indicators, in order to trade volatility. If you don't already do so, if you put in the time and effort, who knows? You may even pick up a very useful skill. :)