medium · Volume Price Analysis support-resistance
In a 'Double Top' pattern, the first peak at 95 forms on 5 million shares of volume. The second peak at 94.80 forms on 2 million shares.
How does VPA interpret the second peak?
- A bullish validation of the newly formed resistance level
- Bearish divergence indicating exhausted buying conviction
- A 'spring' trap set just before breaking out higher
- A 'test of supply' confirming that the uptrend remains firmly intact
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