medium · Volume Price Analysis
An ES trader sees a wide-spread down candle on low volume at the open of the New York session. The next candle is a hammer with 2.5x average volume.
What is the professional intent?
- The hammer qualifies as a 'No Supply' bar, confirming that the selling pressure has ended.
- The trend remains firmly bearish because market makers are still actively selling into the bid.
- The market is entering a full price waterfall, driven onward by that wide initial opening move.
- Insiders marked the price down to shake out weak holders and are now aggressively accumulating.
Sign up free to see the explanation and track your rank →
More Volume Price Analysis practice
- A stock has been in a sustained uptrend for three weeks. A c… — How should this be interpr
- What is the specific VPA principle demonstrated here?
- During an accumulation phase, the price dips below the estab… — What is the correct Wyckof
- What is the most likely price behavior?
- What is the next step in the decision framework to confirm this is an entry opportunity?
- An up candle with a very narrow spread and very low volume a… — What does this specificall
- A practitioner is using a 233-tick chart for the ES E-mini.… — What does a 'low volume' ba
- A stock has reached the top of a distribution zone. A candle… — How should the practitione