The core idea of "waiting and saving the cause" is: assuming that there are superior traders in the market who can react to market benefits more intelligently and quickly, while following traders, such as retail investors, may delay their entry.
When superior traders enter the market, they assess the trading volume in the subsequent 5 minutes to determine the degree of market follow-through. If it's high, it may indicate that the market is overreacting. If it's low, then they enter the market.
This is what traditional quantitative trading does, based on an understanding of market structure, modeling the market, looking for mismatches, and executing the first buy.
On Wednesday night, a group member reported that ETH had a spike on Hype, which instantly caught my attention. I had never seen such a nearly point-to-pool matching method on HYPE; that was all about HLP doing the counterparty, with $345 million locked. Further reports from group members indicated that a large trader actively closed a short position of $500 million, rather than liquidating.
I immediately thought of "waiting and saving" that I heard in the sharing session during the day. I already had the idea of increasing my position, so I directly added to my positions in B and S.
Looking back, the funds in B indeed quickly showed follow-through. The large trader who closed the short position in ETH is one of the superior traders.
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