On lower time frames (and on higher either imo) it's usual to strech (artificially) the market/move more than comfortable to force traders into the 'ultimate' direction. When most counter-traders changed sentiment already (to this streched move), than happenes the change in direction. Than the adaptive ones (few) can change fast and make profit, while the other side will stick to the forced direction. Than this new direction last more than than most would think, and this is why the most of adaptive ones start change sentiment back to the original direction (too early), while the sticked ones (who react always late) will change sentiment, when it's late again.
The keywords are 'early' and 'late' imo.
True for both bulls & bears right now.
The keywords are 'early' and 'late' imo.
True for both bulls & bears right now.
f(z)=z2+c