DOES THE MARKET DECEIVE YOU? 🧠📉
Many asked me yesterday: "Luis, is this a trend change or just a pullback?". 🛡️ With mate in hand, I'll explain it easily so you stop burning accounts.
1. The Pullback (What we operate today) 🕯️
It's when the price takes a "breather". The market doesn't go down or up in a straight line. After a strong drop, the price seeks air to continue falling.
Signal: Volume decreases and indicators (like the RSI) exit the danger zone.
Our move: We take advantage of that breather to enter a quick Short or a rebound Long. We catch the crumb and leave.
2. Trend Change (What beginners expect) 🔄
It's when the structure truly breaks. For this to happen, the price has to break ceilings (resistances) with significant institutional volume.
The common mistake: Believing that because it rose by 2%, it's going to the moon. Be careful! That's what whales want you to believe to trap you.
STREET ADVICE: > I don't guess, I wait for confirmation. If the market seeks Liquidity (as we explained yesterday), it's most likely a pullback to continue the main trend.
Did you understand the difference? If you want me to analyze a specific pair under this lens, leave it in the comments. 👇 Let's learn together! 🧉💎