Short-term trading is most tested by the main force's shakeout. One misstep and you get knocked out, only to see the price surge again. To survive longer and earn steadily, the key is to learn how to distinguish the true intentions of the main force. By analyzing trading volume, price trends, technical indicators, market sentiment, and capital movements, you can build a reliable defensive system.
**Can trading volume be deceiving? No** Trading volume is the hardest to fake and is the first window into understanding the main force's intentions. Shakeouts usually look like this: when the price drops, trading volume shrinks; during rebounds, volume starts to increase again. This combination indicates that the main force is not dumping large amounts of tokens but is clearing out floating positions. Conversely, if volume surges during a decline and decreases during an increase, it’s dangerous—this is a true sign of distribution. A classic case: a certain coin shows a pattern of "shrinking volume on decline + increasing volume on rebound" for five consecutive trading days, then suddenly surges on day six to hit the daily limit, completing the shakeout. Also, paying attention to extremely low volume is very useful—when the price drops and volume dries up significantly (more than 70% below the daily average), it often indicates the shakeout is nearing its end. Short-term traders must treat volume-price divergence seriously; it’s the golden key to catching shakeouts.
**Support levels are like exam papers; how the main force answers is crucial** Looking at the price can directly reveal what the main force is doing. When conducting a shakeout, the main force especially likes to manipulate key levels. For example, deliberately breaking through a 60-day moving average or a previous low, causing many to cut losses, then quickly pulling back and leaving a long, ugly lower shadow. This is a typical false breakout and a signal for a shakeout. The specific pattern of price fluctuations also reveals many clues, which requires traders to accumulate experience and sensitivity through practical trading.
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Short-term trading is most tested by the main force's shakeout. One misstep and you get knocked out, only to see the price surge again. To survive longer and earn steadily, the key is to learn how to distinguish the true intentions of the main force. By analyzing trading volume, price trends, technical indicators, market sentiment, and capital movements, you can build a reliable defensive system.
**Can trading volume be deceiving? No**
Trading volume is the hardest to fake and is the first window into understanding the main force's intentions. Shakeouts usually look like this: when the price drops, trading volume shrinks; during rebounds, volume starts to increase again. This combination indicates that the main force is not dumping large amounts of tokens but is clearing out floating positions. Conversely, if volume surges during a decline and decreases during an increase, it’s dangerous—this is a true sign of distribution. A classic case: a certain coin shows a pattern of "shrinking volume on decline + increasing volume on rebound" for five consecutive trading days, then suddenly surges on day six to hit the daily limit, completing the shakeout. Also, paying attention to extremely low volume is very useful—when the price drops and volume dries up significantly (more than 70% below the daily average), it often indicates the shakeout is nearing its end. Short-term traders must treat volume-price divergence seriously; it’s the golden key to catching shakeouts.
**Support levels are like exam papers; how the main force answers is crucial**
Looking at the price can directly reveal what the main force is doing. When conducting a shakeout, the main force especially likes to manipulate key levels. For example, deliberately breaking through a 60-day moving average or a previous low, causing many to cut losses, then quickly pulling back and leaving a long, ugly lower shadow. This is a typical false breakout and a signal for a shakeout. The specific pattern of price fluctuations also reveals many clues, which requires traders to accumulate experience and sensitivity through practical trading.