Why buying on good news is dangerous

Why buying on good news is dangerous

At the end of October, the price of #TRX pumped very quickly. The public was encouraged to buy TRX. But in hindsight, it was a poor decision. Because market professionals use the flow of public FOMO flow in order to establish shorts. While the crowd of ordinary traders discussed the breakout of 2.0 key level, professional individuals had built their solid short position. Browse the history of any market. You will find the extra-abnormal pump before every down-trend channel (not always, but in majority of cases).

The last red arrow points at a very interesting bar. It is:
1/ SLKT above the important level 0.015
2/ Reversing-bar after touching the top-line of down-trend-channel.

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