This is a simple example of a seven summits traders situation in the market that can cause volatility.
As a retail trader, how would you have known? Maybe a better question is when would you have known?
The top traders learn to not only follow price but to understand momentum changes in price. Momentum changes tied with actual “key” trading times in the market can provide the first indications that the market is reading to move. It is this understanding of momentum that alerts seven summits traders to the conditions that something is happening in the market.
Many very wealthy seven summits trader have admitted that they are more lucky than good but they also will tell you that they were prepared to take advantage of the luck. Momentum from an indicator like RSI can help with that preparedness.
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