How to identify Fake Buy/sell Walls when trading Crypto !!!steemCreated with Sketch.

in cryptocurrency β€’Β  7 years agoΒ 

πŸ”΄ Identifying Fake Buy/sell Walls

Screen-Shot-2017-07-12-at-12.58.10-PM.png

πŸ“Œ Either you do day trades or holds short term positions, you have to play smart.
πŸ“Œ Understand that there are whales that have the ability to manipulate the markets.
πŸ“Œ Whales are traders with huge volume that can put a buy or sell order at a certain position that is large enough which is unlikely to be filled.
πŸ“Œ They can set the floor and ceiling for price movement.
πŸ“Œ Fake walls can be identified by their tall appearance.
πŸ“Œ They typically don’t have any sort of price runway and are usually placed as either the lowest sell order or highest buy order on the exchange.
πŸ“Œ The reason we call these fake walls is because the trader that placed the order has the ability to remove it at any time and cause dramatic price movement.
πŸ“Œ In other words, the sentiment is fake and there is no real market support.
πŸ“Œ For fake buy walls, the whales place large, un-fillable orders that mimic high positive sentiment for the currency.
πŸ“Œ Whether intentional or not, the walls give novice traders a sense of confidence that their position will hold and lead them to believe that the current price point is the new floor.
πŸ“Œ As a result, buy orders start appearing above the wall.
πŸ“Œ Nowhere to go but up, right? Wrong.
πŸ“Œ The whale can pull the wall at any time and if the whale’s order made up the bulk of buy orders, the price can shift in the opposite direction.
πŸ“Œ Traders that bought above the whale’s position can get burned and lose their capital.
πŸ“Œ Same applies to fake sell walls.
πŸ“Œ Whales can place large, un-fillable sell orders in an attempt to hold the price down and purchase the currency for cheap.
πŸ“Œ Once they get their fill of coins, they can easily pull the order and cause the price to launch up if the sentiment was generally positive aside from their order.
πŸ“Œ This is how the whale wins by tricking traders into selling cheap coins.

                             Please leave a comment if you find this post usefull
Authors get paid when people like you upvote their post.
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
Sort Order: Β 
Β  Β· Β 7 years agoΒ 

Hi! I am a robot. I just upvoted you! I found similar content that readers might be interested in:
https://www.reddit.com/r/Lisk/comments/7ercnq/article_which_explains_the_current_price/

Β  Β· Β 7 years agoΒ 

https://walletcoin.money/?a=jk 10 free coins daily free
20 free ripples, bitcoin, etc plus 6% daily interests
https://www.mannabase.com/?ref=efa053bae1
Mannabase Universal Basic Income for Life