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Sign of Weakness (SOW)

Volume Price Analysis glossary · Volume Price Analysis

Definition

A wide-spread, high-volume down bar that decisively breaks support of a distribution trading range — signals the beginning of markdown.

Sign of Weakness (SOW) in plain English

This is the mirror image of a Sign of Strength. After a price has hovered near a top while big players quietly unload their holdings (that phase is called distribution), a Sign of Weakness is the moment it breaks sharply DOWN through the floor of that range on a tall down-candle with heavy volume. The heavy volume matters — it means real selling pressure powered the drop, not just a stray dip. It signals the start of "markdown," the sustained slide that follows, warning you the party's over and the decline is genuinely underway.

Also called: SOW

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