The losing traders have already sold their contracts based on the Technical Analysis tools they are using. The winning traders buy the contract because they understand that the fluctuation was temporary, and they seize the opportunity based on the losing trader’s reactions.
Unfortunately, technical analysis is not an exact science. Many prominent scientists label it as “voodoo science”. The “voodoo science” theory would make sense if it wasn’t for the fact that there are a significant number of traders who are able to consistently make profits in the day trading stock/futures market. Therefore, these traders use technical analysis as their main tool.