Educational material, not financial advice. Nothing here is a recommendation to buy or sell any security. Options involve significant risk and are not suitable for every investor. These are past examples chosen to illustrate a reading; they are not typical results, and past behavior of any setup does not guarantee future results.
DESCRIPTION
Price trades in a wide range, the edges of which are defined by the presence of at least two high value nodes with few prominent nodes in between.HOW TO APPROACH
A Whipsaw reads like a range: the edges are where the risk is easiest to define. The middle of the range is the least clear, and with 0DTE options, theta decay and unstable price action can erode premium quickly there.- Example 1
- Example 2
- Example 3
