hard · Volume Price Analysis
You observe three consecutive Equivolume boxes in a rising trend: Box 1 is tall and wide; Box 2 is tall and narrow; Box 3 is short and wide.
What is the most likely narrative for Box 3?
- The trend is accelerating as the lack of volume (narrow width) allows price to move easily.
- The market is in a 'No Supply' state, preparing for a further breakout higher.
- The insiders are distributing inventory into retail demand, causing a standoff where high effort produces a small price result.
- A 'Selling Climax' has just completed, and the insiders are now in the markdown phase.
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