Sequence Checklist
Volume Spread Analysis glossary · Supply & Demand / Smart Money
Definition
The five-point verification routine the VSA practitioner runs before taking any trade: (1) Background — is there identifiable accumulation or distribution to the left on the chart? (2) Primary signal — is a first-order signal (e.g., shake-out, buying climax, stopping volume) present? (3) Confirming signal — does a second signal in the same direction support the thesis? (4) Trigger signal — is there a specific entry bar (e.g., a low-volume test or no-demand bar) to act on? (5) Trend alignment — is the higher-timeframe context consistent with the proposed trade direction? If any item fails, the trade is not taken.
Sequence Checklist in plain English
This is a quick five-question safety check you run before risking any money — like a pilot's pre-flight checklist that has to fully pass or the plane doesn't take off. You ask: (1) Background — earlier on the chart, is there evidence the pros were quietly buying or selling? (2) Primary signal — is there a strong first clue, like a shake-out or a buying climax? (3) Confirming signal — does a second clue point the same way? (4) Trigger — is there a specific bar that says 'act now,' like a quiet test bar? and (5) Trend alignment — does the bigger-picture chart agree with the direction you want to trade? If even one answer is no, you simply pass on the trade — the whole point is that skipping a shaky setup costs you nothing, but taking one can cost you real money.
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