medium · Volume Price Analysis support-resistance
You are analyzing a 15-minute EUR/USD chart during the London session. A candle breaks above a well-defined resistance level at 1.0850, but its tick volume is significantly below the average of the last 20 bars. The next candle forms a shooting star.
What is the recommended action?
- Hold existing long positions as this is a 'No Supply' test.
- Wait for the New York open to confirm the breakout.
- Enter a long position as the breakout has cleared resistance.
- Prepare for a short entry as this is a 'fakeout' or Upthrust.
Sign up free to see the explanation and track your rank →
More Volume Price Analysis support-resistance practice
- During an accumulation phase, the price dips below the estab… — What is the correct Wyckof
- What is the immediate trade implication?
- Following an accumulation phase, the market pushes below the… — What is this schematic eve
- A Volume at Price (VAP) histogram shows a large 'High Volume… — As the price approaches th
- What is the most likely outcome?
- If the price is at $158.00 and forms a shooting star on low volume, what is the expected o
- During a sideways consolidation, the price dips below the es… — What is the correct VPA te
- What is the Wyckoffian term for the first candle?