Volume at Trend Boundaries
Volume Spread Analysis glossary · Background, Trend & Context
Definition
The VSA reading of how a price bar interacts with the upper (supply) and lower (support) boundaries of a trend channel. It takes effort to penetrate a trend line: low volume approaching support shows no selling pressure and the line holds (path of least resistance is up), while high volume approaching support shows selling pressure and the line may break. The mirror applies at resistance: low volume approaching the supply line shows no demand and the line caps the move; high volume approaching the supply line shows genuine buying effort that may break the line, after which the old resistance becomes new support.
Volume at Trend Boundaries in plain English
Picture a trend as a lane on a road with a ceiling above (where selling tends to appear) and a floor below (where buyers tend to step in). Breaking through either edge takes real effort, and volume — the number of shares traded — tells you whether that effort is there. If price drifts down to the floor on LOW volume, almost nobody is dumping shares, so the floor holds and the easiest direction is back up; but heavy volume at the floor means real selling pressure, and the floor may give way. The same logic flips at the ceiling: light volume there means buyers aren't showing up so the ceiling caps the rise, while heavy volume means genuine buying muscle that can smash through — and once broken, that old ceiling often becomes the new floor.
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