Unsure about buying the dip? This key trading indicator makes it easier
Cointelegraph
Published Jun 06, 2021 07:52PM ET
Updated Jun 06, 2021 09:40PM ET
When an asset enters a bear phase and the headlines are negative, analysts project further downside, and the sentiment shifts from optimism to pure gloom and doom. This results in panic gripped traders dumping their positions near the bottom of the downtrend instead of buying.
How can traders go against the herd and build the courage to buy in a bear market? It is not easy because if they purchase too early, the position may quickly turn into a loss. However, if they wait for too long, they may miss the early part of the rally.
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Written By: Cointelegraph
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