The market is cooling down and approaching a dangerous threshold.
The Realized Profit/Loss Ratio (90D-SMA) continues its downward trend (~1.32), nearing 1, reflecting declining liquidity.
The total value of realized profits is still slightly higher than stop-loss orders (1.32), but this gap is narrowing rapidly.
Upward momentum is weakening, and new money is flowing into the market less.
Warning Line (Level 1.0):
This is the psychological break-even point.
If this indicator falls below 1, the "scale" will tip towards losses. At that point, most sellers will be selling out of fear and accepting losses (panic selling).
In the past, whenever this indicator fell below 1, the market often experienced a widespread sell-off (surrender). This is usually a sign of a bottoming out or a sharp price drop due to panic.
=> We are in a sensitive phase. If the market doesn't recover soon enough to push this index back up, and instead lets it fall below 1, there's a high probability of a sharp sell-off occurring.
