medium · Volume Price Analysis

A stock is rising on a Daily chart. For three days, the volume bars have been rising, but the candle bodies (spreads) have been getting progressively narrower. On the fourth day, the stock gaps up but closes as a red 'Shooting Star' on the highest volume of the year. Identify the Wyckoff phase.

  1. A successful test of Supply.
  2. Markup validation phase.
  3. The Buying Climax within the Accumulation phase.
  4. The Selling Climax within the Distribution phase.

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