medium · Volume Price Analysis

A trader observes a candle with a small body and a long lower wick at the peak of a two-month bullish markup. Volume is exceptionally high.

What does the lower wick primarily represent in this specific context?

  1. The final exhaustion of all remaining bears.
  2. The first appearance of significant selling pressure in the uptrend.
  3. A successful test of supply by the insiders.
  4. Strong unidirectional sentiment from institutional buyers.

Sign up free to see the explanation and track your rank →

More Volume Price Analysis practice

KomFi Academy — Stop doomscrolling. Get KomFi.

Build your intelligence, anytime, anywhere.

KomFi Academy is a curated training platform with 43,000+ practice questions, 20,000+ flashcards, on-demand video lectures, podcasts, and 4K slide decks across the topics serious professionals study: GMAT, LSAT, MCAT, Investment Banking, Private Equity (LBOs & PE math), Private Credit, Quantitative Finance, Financial Accounting, Asset- Backed Securities, Volume Profile Analysis, Order Flow Trading, Market Microstructure, Volume Spread Analysis, Elliott Wave Theory, Volume-Price Analysis, and Public Offering Frameworks.

What's inside

Topics

View pricing · Read testimonials