medium · Volume Price Analysis support-resistance
A stock breaks above a 10-day congestion ceiling of 22.00 on ultra-high volume. bar 2 is a narrow-spread up candle on even higher volume. bar 3 is a 'Shooting Star' that closes back at 22.10 on ultra-high volume.
What is the diagnosis?
- An 'Upthrust' trap and absorption leading to a fakeout.
- A successful, low-volume re-test confirming new support.
- A genuine Short Squeeze validation of the breakout.
- The confirmed initiation of a sustained Markup phase.
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