easy · Volume Price Analysis climactic
A candle is described as a 'Hanging Man' with volume 2.0x the average.
Where must this candle be located to be considered a sign of weakness?
- At the top of a bullish trend, signaling that selling pressure has appeared for the first time.
- At the bottom of a steep price waterfall, signaling the presence of stopping volume.
- Within a tight congestion zone during consolidation, signaling what is called a 'No Supply' bar there.
- Only during a scheduled news release, where it signals deliberate stop-hunting by informed insiders.
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