Forwarded from The Horse Hangout
The Livermorian Centurymark is a term that captures the psychological and technical importance of round-number price levels in the stock market, especially those ending in zeros, such as $100, $200, $1,000, and so on. These levels have a magnetic quality, drawing attention from traders and investors because they are easy reference points and psychologically significant milestones. Jesse Livermore, one of the most famous traders in history, was among the first to recognize how these centurymarks often act as crucial battlegrounds for price action. He observed that stocks approaching these levels frequently face resistance, as traders tend to take profits or hesitate to commit further. However, once breached decisively, these same levels can trigger explosive momentum to the upside.
For example, consider a stock hovering just below $100. Traders might place a high volume of sell orders at or near this level, expecting resistance. But if strong buying pressure drives the stock above $100 and it holds there, it often creates a self-fulfilling wave of momentum. Livermore noted that this move above the centurymark can signal the start of a new bullish phase, with market participants rushing to buy in fear of missing out. Conversely, if a stock repeatedly fails to break above a round number, it can lead to a reversal, as the inability to conquer that level erodes confidence.
This concept isn’t limited to just stocks. In modern markets, round numbers are just as significant in major indices, commodities, and even currencies. For instance, the S&P 500 breaking above a level like 4,000 or gold crossing $2,000 an ounce often leads to strong follow-through buying. These moves reflect Livermore’s observation that once a centurymark is decisively broken, the market is signaling it’s ready for the next leg higher. On the flip side, major failures at these levels can act as clear signals of rejection, often preceding a larger pullback.
The centurymark idea highlights the power of market psychology. These round numbers may not have any inherent value, but they represent milestones that influence how traders think and behave. Livermore understood this long before modern technical analysis became popular, and his insights into the human side of trading remain as relevant today as they were in his time. Whether you're trading individual stocks, ETFs, or major market indices, watching how price reacts at these levels can provide critical clues about future market direction.
For example, consider a stock hovering just below $100. Traders might place a high volume of sell orders at or near this level, expecting resistance. But if strong buying pressure drives the stock above $100 and it holds there, it often creates a self-fulfilling wave of momentum. Livermore noted that this move above the centurymark can signal the start of a new bullish phase, with market participants rushing to buy in fear of missing out. Conversely, if a stock repeatedly fails to break above a round number, it can lead to a reversal, as the inability to conquer that level erodes confidence.
This concept isn’t limited to just stocks. In modern markets, round numbers are just as significant in major indices, commodities, and even currencies. For instance, the S&P 500 breaking above a level like 4,000 or gold crossing $2,000 an ounce often leads to strong follow-through buying. These moves reflect Livermore’s observation that once a centurymark is decisively broken, the market is signaling it’s ready for the next leg higher. On the flip side, major failures at these levels can act as clear signals of rejection, often preceding a larger pullback.
The centurymark idea highlights the power of market psychology. These round numbers may not have any inherent value, but they represent milestones that influence how traders think and behave. Livermore understood this long before modern technical analysis became popular, and his insights into the human side of trading remain as relevant today as they were in his time. Whether you're trading individual stocks, ETFs, or major market indices, watching how price reacts at these levels can provide critical clues about future market direction.
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Crypto Mumbles
https://x.com/knveth/status/1859630213698814146
chat what part of the cycle is a president flexing btc gains on his ig story
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little did we know that by making token creation so easy with pumpfun
instead of coming in to buy your bags that you packed so readily for them, retail comes in and launches their own tokens instead
pretty sure nobody thought of that when bullposting pre-election LMAO
instead of coming in to buy your bags that you packed so readily for them, retail comes in and launches their own tokens instead
pretty sure nobody thought of that when bullposting pre-election LMAO
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Forwarded from Zoomer News
Forwarded from Zoomer News
Sec: SEC Chair Gensler To Depart Agency On January 20
https - //www.sec.gov/news/press-releases/2024-182: Tree
🔗 velo.xyz
https - //www.sec.gov/news/press-releases/2024-182: Tree
🔗 velo.xyz
Forwarded from unfolded. DeFi
Forwarded from Crypto News Aggregator by EXCAVO
🔮📈 #BTC Historically, bull markets in the past have extended for between 4 and 11 months from the current point, providing a historical framework for assessing cycle duration and momentum.
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Forwarded from Zoomer News
Forwarded from infinityhedge
*MICROSTRATEGY SHARES EXTENDS DECLINE, NOW DOWN 30%
Crypto Mumbles
with recent congestions on sol, i was recommended bloom bot and after trying out i think it beats trojan in execution maybe because its not as widely used yet im also using bloom to avoid copytraders on my trojan so i alternate now and then also love the…
been using bloom since my last post and i really quite like it
execution is almost instant so i wanted to re-ping cause quick execution is alfa
trojan has been abit slow in recent congestions but bloom has been reliable for me as a tg bot
bullx desk, bloom tg for me rn
https://news.1rj.ru/str/BloomSolana_bot?start=ref_dpycm
execution is almost instant so i wanted to re-ping cause quick execution is alfa
trojan has been abit slow in recent congestions but bloom has been reliable for me as a tg bot
bullx desk, bloom tg for me rn
https://news.1rj.ru/str/BloomSolana_bot?start=ref_dpycm
Telegram
Bloom Solana
Portal: https://news.1rj.ru/str/bloomportal
Docs: https://docs.bloombot.app/
EU 🇩🇪 @BloomSolanaEU2_bot
US 🇺🇸 @BloomSolanaUS1_bot
Docs: https://docs.bloombot.app/
EU 🇩🇪 @BloomSolanaEU2_bot
US 🇺🇸 @BloomSolanaUS1_bot
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Crypto Mumbles
flower bought in the range low 3.5m, retesting range high expansion to ath after
flower
ath tagged for 3.5x
ath tagged for 3.5x
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